7 August 2015
New Entity to Provide Expanded Presence in Paraguayan Market for Global Agro-Industrial Group.
LUXEMBOURG, AMSTERDAM and NEW YORK, August 7, 2015 – Sodrugestvo Group has closed on a joint venture with the Gimenez Family shareholders, owners of the largest chain of river port terminals in Paraguay. The new entity, called South American River Company S.A. (“SARCOM”), will considerably strengthen the company’s presence and development in the Paraguayan and Latin American market.
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Sodrugestvo owns a 60 percent stake in the joint venture with a possibility to acquire the remaining shares over the next few years. Mr. Regis Lemes has been appointed as the Managing Director of SARCOM.
“Paraguay is a quickly growing soybean market and an important region for Sodrugestvo.Group. SARCOM, uniting four strategically positioned river terminals, is one of the most important and respected players in the industry, which is naturally suiting our supply chain,” said Aleksandr Lutsenko, CEO of Sodrugestvo. “As we continue to look for new strategic growth opportunities – both geographically and in terms of our product and service offerings – it is fitting that we expand our presence in one of the most dynamic markets in South America.”
In the next three years of operation Sodrugestvo with its partners will focus on an increase of throughput and of static storage capacity in all the four terminals. SARCOM’s objective is to transship more than 2,000,000 metric tons of soybeans annually, of which a half to be originated by Sodrugestvo Paraguay and a half – by the current business partners of SARCOM, including the most reputable international grain traders.
“Two years ago we decided to develop our presence in Paraguay both for the origination and transshipment of soybeans and other commodities, and to achieve access to one of the most dynamic markets in South America,” continued Mr. Lutsenko. “We are confident that we could not have found a better opportunity to begin our port operations in Paraguay on such a reasonable scale. Sodrugestvo is proud to have been selected by SARCOM as its partner.”
Mr. Francisco Gimenez supports: “For a Paraguayan company, it is a great opportunity and honor to be a part of an international team,that shall bring professional growth for our employees and benefits for our local communities. Paraguay will benefit from investments in logistics, and SARCOM will definitely play a key role in this segment. For us it will be challenging, but interesting times”. SARCOM with its headquarters in Asuncion, Paraguay, will operate and enlarge four river terminals at San Antonio, Hohenau, Concepcion and Rosario on the Parana and Paraguay river channels.
About Sodrugestvo Group
Sodrugestvo Group (www.sodrugestvo.com), founded in 1994, is a rapidly growing agro-industrial company serving global markets. The company is vertically integrated with four business units - processing facilities (for the production of proteins and oils from vegetal and animal commodities), trading of agricultural commodities, specialized infrastructure (including deep-water sea ports) and logistics (including railcars and storage facilities). In its last fiscal year Sodrugestvo reached consolidated sales of ca. $2.5 billion and crushed almost 3 million tons of soybeans and rapeseed, making it a leading player in Northern, Central and Eastern Europe. The company is also expanding into commodities trading, direct origination capabilities, logistics and ports in South America. Headquartered in Luxembourg, the company has more than 30 facilities located in some 20 countries including Brazil, Paraguay, Russia, Denmark, the United States, Turkey and several Eastern European nations. Sodrugestvo employs around 2500 employees worldwide.
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