Croatia’s Fortenova Group has marked its withdrawal from the agriculture sector with the sale of fruit and veg business Vinka Plus to Osatina Group.
Previously trading as Agrokor before undergoing a restructuring exercise and embarking on a new strategy in 2019, Fortenova has been selling off its agriculture assets. The group has recently accepted an offer from Bosqar Invest for Croatian meat producer Pik Vrbovec.
Financial terms for the disposal of Vinka Plus were not disclosed.
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Commenting on the completion of its exit from the sector, CEO Fabris Peruško said: “With this, the Fortenova Group successfully concludes the process of disinvesting its agribusiness because Vinka is the last company in the group directly related to agricultural production.”
Peruško said the transaction with Osatina will bolster local agricultural production, adding: “In light of the constant global turmoil, this is very important.”
Vinka Plus, based in Vinkovci in eastern Croatia, holds concessions for around 800ha of state-owned farmland. The company operates the Borinci orchard, described as one of the largest in the country.
Fortenova said in a statement yesterday (7 April) that Vinka Plus shut its loss-making industrial fruit and vegetable processing unit last year. A partner was then found to continue the business, including keeping employees.
Osatina Group produces fruit, vegetables, milk, meat and animal feed. The company employs about 1,500 people and operates across four counties in eastern Croatia.
Director Mirko Ervačić said in the statement: “This transaction represents a logical step forward in the further optimisation and expansion of our production capacities. By taking over Vinka, we are additionally connecting existing resources and strengthening efficiency within our production chain, especially in the fruit-growing segment.
“The focus in the coming period will be on business integration, improvement of operational processes and maximum utilisation of the potential of existing plantations.”
Meanwhile, Bosqar is taking over Pik Vrbovec, Croatia’s largest meat and processed-meat producer, through its Future Food division.
The division already includes Slovenian agri-food group Panvita as well as bakery group Mlinar, where Bosqar acquired a 67% indirect ownership in July.
Fortenova’s other divestments in agriculture include the sales of the Zvijezda sauces and oils business to Podravka-owned Žito in November and Serbian edible oils producer Dijamant to the MK Group in January.
