DGAP-News

KTG Agrar SE: Five successful years with a win-win situation for investors and the company

DGAP-News: KTG Agrar SE / Key word(s): Bond
KTG Agrar SE: Five successful years with a win-win situation for
investors and the company

15.09.2015 / 07:45

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KTG Agrar SE: Five successful years with a win-win situation for investors
and the company

- Corporate bond 10/15 repaid as planned
- Building up a farming business with a unique business model in only five
years
- Investment phase completed: staff +750; farmland +15,000 ha; biogas +50
MW; + strong brands
- Harvesting phase has begun: leveraging synergies, tapping new markets,
boosting revenues and earnings

Hamburg, 15 September 2015. KTG Agrar SE (ISIN: DE000A0DN1J4) today repaid
its corporate bond 2010/2015 (ISIN: DE000A1ELQU9) on time upon maturity.
The agricultural company issued the EUR 50 million bond in 2010 to invest
in farmland, healthy food and clean energy.

"Over the past five years we have made massive investments in farmland,
strong food brands and the corresponding production capacities and biogas
plants. The corporate bond gave us the financial scope we needed to make
these investments within a well plannable medium-term framework," said
Siegfried Hofreiter, CEO of KTG Agrar SE. "Today we are an agricultural
company with a unique business model comprising the production of primary
agricultural products, their processing into high-quality food as well as
the production of renewable energy. For this I would like to thank all
investors."

In the meantime KTG Agrar has completed its investment phase. The headcount
more than quadrupled to roughly 1,000 between 2010 and 2015. Most of these
employees work in economically weak regions in Eastern Germany, where KTG
is among the largest employers in many districts and communities. During
the term of the bond, the company increased its farmland by 15,000 hectares
to over 45,000 hectares. The agricultural products are processed by KTG at
its own facilities in Anklam, Wittibreut, Manschnow, Ringleben and Linthe
and marketed under the biozentrale, Frenzel Tiefkühlkost and Die Landwirte
brands. The result: high-quality food from field to plate from a single
source. Consumers can choose from a wide range of products from muesli to
pan-fried vegetables to regionally produced soya oil with complete proof of
origin.

Started 20 years ago, the agricultural operations are still at the heart of
KTG Agrar. Besides these activities, the production of energy from
renewable resources has become an important revenue and earnings generator.
During the term of the bond, the production capacity has increased from 11