LLI: acquires all shares of Loulis group in Romania and Bulgaria

Vienna / AT. (lli) Leipnik Lundenburger Invest Beteiligungs AG (LLI), which had held 68 percent in the Romanian Titan S.A. and 61,3 percent in the Bulgarian Sofia Mel AD since last year, acquired the remaining shares in the two mill groups from the Greek Loulis group in early December 2008. «With this take-over we do not only strengthen our position in the South Eastern European milling market but also further consolidate our position as the number one in the European milling market», LLI Managing Directors Dr. Kurt Miesenböck and Magister Christian Teufl informed.

After the acquisition, LLI´s stake in Titan S.A. is about 98 percent. With its two mill sites in Bucharest and Targu Mures / Transylvania, Titan S.A. holds a national market share of approximately eight percent. To gain further ground in the Bucharest market, bakery activities at this site are to be stepped up to three-shift operations. Two shifts will be available for the production of buns supplied to Mc Donald´s.

After the acquisition LLI holds 95 percent of the shares in Bulgaria. For the remaining five percent a squeeze-out procedure has been planned. Sofia Mel AD is represented with one plant in the capital Sofia and holds a market share of roughly 17 percent in the Bulgarian flour market. The market for packaged flour in the Bulgarian food trade is dominated by this company holding a share of about 50 percent.

The LLI mill group has implemented its expansionary strategy successfully in recent years. The growth of the LLI mill group is clearly reflected in the increase in quantities milled in the past few years. While in the financial year 2003/2004 430’000 tons had been milled, the quantity milled climbed to about 2,9 million tons in the past financial year. The LLI mill group employed 2’750 staff members at 29 sites in 2007/2008.