Rusagro Interested in Buying Samara Region Dairy Factory: Report

Russian agribusiness concern Rusagro is interested in buying a dairy production facility in the Samara region, an industry source told Interfax, adding that the deal could be announced next week.

Another source told the news agency that the company was negotiating the purchase of production facilities in the Samara region with Alev JSC, one of the largest oil producers in the Volga region.

Neither Rusagro nor Alev have confirmed the information. A representative of Rusagro said that “according to the internal disclosure policy, the company gives comments only on completed transactions.”

However, earlier in August, Rusagro registered a company called Dairy Products in the Samara region. According to documents, the company’s main activity is the production of cream and melted butter, butter paste, milk fat, spreads and melted cream and vegetable mixtures. As indicated in official databases, the new company with an authorized capital of 10 thousand rubles was registered in the village of Koshki.

A butter factory, Koshkinsky, owned by Alev, already exists in the village. According to DairyNews, the company is the oldest in the region and produces products under the “Koshkinskoye” trademark. The factory’s volume of raw milk processing in 2016 amounted to 76.8 thousand tons with production capacities of 120 thousand tons. The plant produces 15 thousand tons of cheese and cottage cheese, 2.4 thousand tons of dry dairy products, 7.2 thousand tons of creamy milk oil.

At the end of 2017, Alev announced the completion of the modernization of the plant, and a new Spanish line for cheese production was opened.

Alev was founded in the Ulyanovsk region in 1994 and, as they say on the company’s website, its main production is still located in the city of Ulyanovsk.