As part of the 'Efficiency' project, Podravka d.d. buys a stake in the Slovakian company

After closing down the factory in Mohacs, Hungary, Podravka d.d. took the next step in the ‘Efficiency’ project by buying a 50% stake in the Podravka International Bratislava Company from the Italian company Cerere from Trieste. In this way, Podravka has acquired 100% ownership of that company. The purchase of this stake will allow Podravka d.d. to rationalise operating costs, as it will create the preconditions for the merger of two of Podravka’s companies – International Bratislava and Lagris Slovakia. This will certainly have an effect on business efficiency, particularly in the area of general and administrative costs.

‘After optimisation of Vegeta production in the EU markets, the acquisition of a 50% stake in the company in Slovakia from our partner Cerere is a logical step in the development of business in Central European markets. This creates realistic possibilities for the merger of the companies, and it will bring about a reduction in costs‘, said Damir Polančec, member of the Board for International Markets.

During the 1990s, Podravka and Cerere acted jointly in the Central European markets. They founded the Podravka International Bratislava Company in 1993 in order to be present together in the Slovakian market. The Lagris Company, one of the leading independent food suppliers in the Czech and Slovakian market, was activated by Podravka in 2002. During this year, under the Podravka brand, Lagris appeared with its product range (rice, legumes, etc.) in the markets of Southeast Europe. In 2003, Podravka’s total sales revenue in the Central European markets (the Czech Republic, Slovakia, Hungary) amounted to HRK 361.6 million, which makes up 11.2% of Podravka’s total revenue.