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Putin transferred the assets of the AgroTerra group to the management of Rosimushchestvo.
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Putin transferred the assets of the AgroTerra group to the management of Rosimushchestvo.

Vladimir Putin has transferred the assets of the "AgroTerra" group under temporary management to Rosimushchestvo. The group manages 640,000 hectares of land, is engaged in agricultural production, and controls 265,000 hectares of land. The value of the company "AgroTerra" is estimated at 15 billion rubles.

9 April 2024 9 April 2024

Chairman Vladimir Putin has transferred the assets of the group "AgroTerra", owned by the Dutch holding AgroTerra Investments B.V., to temporary management by Rosimushchestvo. According to the decree published on the official legal information portal, Rosimushchestvo took over the management of LLC "Capital AgroFinance" (99% owned by AgroTerra Investments B.V. and 1% by Agro Investments Limited), LLC "AgroTerra" (99%, 0.9%, and 0.1% owned by AgroTerra Holdings B.V., Agro Holdings Limited, and LLC "Capital AgroFinance"), LLC "AgroSistema-Regions" (50.1% owned by LLC "AgroSistema" and 49.9% by NAP Finance B.V.), LLC "AgroSistema" (50.1% owned by LLC "AgroSistema-Regions" and 49.9% by NAP Finance B.V.). The decree comes into force on the day of official publication.

 

The holding "AgroTerra" was established in 2008 by the investment company NCH Capital Inc., headquartered in New York. According to information from the NCH Capital Inc. website, the company manages 640,000 hectares of land in the Black Sea region and Eastern Europe, with an annual agricultural production volume of 4 million tons. According to information from the "AgroTerra" website, the company is engaged in crop production and storage of agricultural products, production of wheat seeds, soybeans, corn hybrids, and sunflowers, as well as providing services to agricultural enterprises throughout the production cycle.

 

The group unites 24 farms in the Tula, Ryazan, Penza, Kursk, Tambov, Lipetsk, and Oryol regions. According to the consulting company BEFL's rating for May 2023, "AgroTerra" controlled 265,000 hectares of land and ranked 18th. In 2022, according to Forbes magazine's rating of the largest landowners, the value of "AgroTerra" lands was estimated at 23.2 billion rubles, and the company ranked 15th in the top 20.

 

According to Rusprofile, LLC "AgroTerra" was registered in August 2008, with an authorized capital of 100 million rubles. In 2023, the company's revenue amounted to 157 million rubles, which is 20% more than in 2022, while the profit decreased by 17% to 1 billion rubles. The company's value by the net asset method is estimated at 15 billion rubles.

 

In April 2023, Vladimir Putin signed a decree on the confiscation of foreign assets in response to the confiscation of Russia's property, Russian citizens, or companies in the United States and other countries. Since that moment, the assets of the Finnish energy concern Fortum, the shares of foreign companies in the Russian company Danone and Baltika, the shares of the automaker Rolf, and the Amedia printing network from Norway have been temporarily transferred to the management of Rosimushchestvo.

 

On April 8, the president instructed the government to prepare proposals for supporting organizations whose assets are under temporary administration. The government must submit its proposals by June 1. It is noted that there are no intentions to nationalize enterprises owned by foreign companies, as the mechanism of temporary management does not provide this possibility.

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