Cherkizovo (full name: Open Joint Stock Company 'Cherkizovo') is a

Moscow Moscow ( , US chiefly ; rus, links=no, Москва, r=Moskva, p=mɐskˈva, a=Москва.ogg) is the capital and largest city of Russia. The city stands on the Moskva River in Central Russia, with a population estimated at 13.0 million ...

-based Russian food company that is a major producer and processor of

poultry Poultry () are domesticated birds kept by humans for their eggs, their meat or their feathers. These birds are most typically members of the superorder Galloanserae (fowl), especially the order Galliformes (which includes chickens, quails, a ...

and

pork Pork is the culinary name for the meat of the domestic pig (''Sus domesticus''). It is the most commonly consumed meat worldwide, with evidence of pig husbandry dating back to 5000 BCE. Pork is eaten both freshly cooked and preserved; ...

History

The group was founded in 2005 in the union of the APC "Cherkizovsky" and APC "Mikhaylovskiy". In May 2011, Cherkizovo completed the acquisition of 100% of , a company specializing in the production of poultry products. It costed Cherkizovo $252.9 million, of which $183.8 million was Mosselprom's debt. Part of the deal was paid for with shares of Cherkizovo itself. In March 2014, Cherkizovo Group acquired the largest Voronezh poultry meat producer LISKO Broiler. According to ''

Kommersant ''Kommersant'' (russian: Коммерсантъ, , ''The Businessman'' or Commerce Man, often shortened to Ъ) is a nationally distributed daily newspaper published in Russia mostly devoted to politics and business. The TNS Media and NRS Russia ...

'' newspaper, the deal was worth 5 billion rubles. Thus, Cherkizovo became the largest producer of poultry meat in Russia: as a result of the acquisition of LISKO Broiler (about 95 thousand tons of meat per year), the company's poultry capacity reached 550 thousand tons, ahead of the previous leader, Prioskolye (470 thousand tons per year). In December 2018, Cherkizovo bought an asset in Siberia for 4.6 billion roubles ($70 million) from its local rival ZAO Prioskolie. In December 2021, Cherkizovo announced 100% asset consolidation of "Tambovskaya Indeyka" LLC, by buying back 50% of capital of Spanish "Grupo Fuertes" in their joint LLC. In January 2022, the deal wal closed and thereby "Grupo Fuertes" increased its stake in the holding company, PJSC "Cherkizovo Group" from 8,58% up to 11,12%. In February 2022, Cherkizovo announced 8,5 billion roubles of investments in a pig complex in

Tambov Oblast Tambov Oblast (russian: Тамбо́вская о́бласть, ''Tambovskaya oblast'') is a federal subject of Russia (an oblast). Its administrative center is the city of Tambov. As of the 2010 Census, its population was 1,091,994. Geo ...

, totalling company`s investments in the region by 15 billion roubles since 2013.

Owners and management

In 2010, the main shareholders of the company was the

JPMorgan Chase Bank JPMorgan Chase Bank, N.A., doing business as Chase Bank or often as Chase, is an American national bank headquartered in New York City, that constitutes the consumer and commercial banking subsidiary of the U.S. multinational banking and fina ...

(31.9%) and the company MB Capital Partners (58.74%); whose owners (in the par basis) chairman Igor Babaev, CEO Sergei Mikhailov, Lydia Mikhailov, and Evgeny Mikhailov. In May 2006, Cherkizovo held an IPO at Russian Trading System, the Moscow Stock Exchange and the London Stock Exchange (LSE). As a result, 27.8% of the total share capital is in free circulation. The group's capitalization after IPO reached 904 million.

Activities

In 2011, the group announced the investment of 19.5 billion rubles in a major project for the production and processing of poultry meat in the

Lipetsk Oblast Lipetsk Oblast (russian: Липецкая область, Lipetskaya oblast) is a federal subject of Russia (an oblast). Its administrative center is the city of Lipetsk. As of the 2010 Census, its population was 1,173,513. Geography Lipets ...

Performance

In 2012, the company sold 319.2 thousand tons of poultry meat, 103.8 thousand tons of pork, 127.4 thousand tons of processed meat products and has collected more than 115 tons of various cultures. Wheat yield was about 3.4 tons per hectare, barley yield was about 3.3 tonnes per hectare, sunflower yield was about 2.6 tonnes per hectare, and maize yield was about 6.1 tonnes per hectare, which exceeded the average. Revenue

U.S. GAAP Generally Accepted Accounting Principles (GAAP or U.S. GAAP, pronounced like "gap") is the accounting standard adopted by the U.S. Securities and Exchange Commission (SEC) and is the default accounting standard used by companies based in the Uni ...

in 2012 amounted to $1,581.7 million,

EBITDA A company's earnings before interest, taxes, depreciation, and amortization (commonly abbreviated EBITDA, pronounced , , or ) is a measure of a company's profitability of the operating business only, thus before any effects of indebtedness, stat ...

of $314.6 million, and net profit of $225.2 million.

References

External links

* {{Official website Food and drink companies based in Moscow Russian brands Companies established in 2005 Agriculture companies of Russia Companies listed on the Moscow Exchange Meat companies Poultry companies