Harrisons Solicitors has advised Al Dahra Holding on the October 4, 2018 acquisition of the Poljoprivredna Korporacija Beograd agricultural company.
The contract was signed by Dragan Stevanovic, State Secretary of Serbia's Ministry of Economy, and Abdulla Alderei, the co-president and co-founder of Al Dahra Holding.
Poljoprivredna Korporacija Beograd is state-owned. According to Harrisons, the acquisition is the result of the company's privatization and subsequent public tendering in August 2018.
Al Dahra is an international corporation specializing in agribusiness, with 160 million hectares of agricultural land on four continents. Harrisons reports that the acquisition encompasses several different activities in the agricultural and food sector, as "Al Dahra will process more than 17 thousand hectares of agricultural land on eight farms strategically located close to the center of Belgrade, where the company plans to cultivate crops, such as sugar beet, sunflowers, wheat, corn, barley, and various types of vegetables."
In addition, Harrison's reports, "Al Dahra will be managing dairy and livestock production, supplying the dairy and the meat industries in Serbia." PKB currently produces around 55 million liters of raw milk a year and has around 17 thousand head of livestock. The dairy has seven production facilities, including barns and milking capacities.
Al Dahra plans to invest EUR 30 million in renovating PKB’s operations, developing the irrigation system, and modernizing milk production capacities over the next three years. In addition, Al Dahra plans to invest another EUR 15 million in the optimization of PKB's capacities to improve yields and quality of milk.
Harrisons' team was led by Consultant Goran Martinovic, who was assisted by Senior Associate Svetlana Curic and Associate Stefan Nesic.