Linas Agro Group AB - Notification on material event

AB Linas Agro Group sells shares of UAB Kustodija

AB Linas Agro Group, having made an announcement on selling 50% of shares of
UAB Kustodija back in June, sold the shares to UAB Danrava. The total value of
transaction is LTL 2.9 million. The transaction was approved by the Competition
Council of the Republic of Lithuania. 

Panevezys, Lithuania, 2011-10-21 08:00 CEST (GLOBE NEWSWIRE) -- 50% of shares
of UAB Kustodija, a company selling plant protection products, incorporated in
Vilnius, were acquired by AB Linas Agro Group in 2002. In recent years,
activities of subsidiary company AB Linas Agro started to repeat those of UAB
Kustodija; therefore, a joint agreement was reached with the management of UAB
Kustodija to sell the shares of the company to UAB Danrava. 

“Supply of plant protection products to farmers is one of components of
cooperation with farmers in a long grain trade chain. In order to meet the
farmers' demand for fertilizers, plant protection products and agricultural
machinery we worked in cooperation with various partners by focusing our
attention on grain purchase, shifting the supply of agricultural inputs to our
partners-suppliers. We have been cooperating with UAB Kustodija in such a way
for almost 10 years and acquired shares of this company. However, the growth in
the number of customers and the strengthening of the capacity of our team of
sales agents and consultants led to a decision of AB Linas Agro, the company of
the Group, to supply plant protection products to the customers independently.
We hope this decision will strengthen the position of AB Linas Agro,” commented
Deputy Managing Director of AB Linas Agro Group Andrius Pranckevičius. 

According to Andrius Pranckevičius, the goal of AB Linas Agro Group is to
increase their market share in trading plant protection products in Lithuania
to 30%. They expect further successful cooperation with UAB Kustodija in
certain product groups. 

AB Linas Agro Group sold plant protection products worth LTL 22 million in
financial year 2010/2011 ended 30 June and is planning to increase sales
volumes of these products by 16%, i. e. up to LTL 26 million, in 2011/2012. 



About AB Linas Agro Group

AB Linas Agro Group is an agribusiness parent company engaged in the production
and trade of grains, oilseeds, feedstuff and agricultural inputs. It controls
companies in Lithuania, Latvia, Estonia, Denmark and Ukraine. The group
consists of international trading company in Lithuania AB Linas Agro, grain
storage company UAB Linas Agro Grūdų centras KŪB (controlling grain storages in
Joniškis, Kėdainiai, Kupiškis, Pasvalys, Šakiai district, Šiauliai and
Vilkaviškis), Latvian trading company SIA Linas Agro, international trading
company Linas Agro A/S in Denmark, Ukrainian based fertilizer production and
trade company PJ-SC UKRAGRO NPK, group of companies ŽŪB Landvesta, managing
agricultural land, group of five agricultural companies UAB Linas Agro
Konsultacijos, operator of lignin biofuel accumulation UAB Lignineko and other
companies. The financial year of the companies begins on 1 July. 

Together with partners, the controlling company owns agriculture-related
products and services providing company UAB Dotnuvos Projektai and logistics
company UAB Jungtinė Ekspedicija. 

 From 17 February 2010 AB Linas Agro Group is included in the main list of
companies of NASDAQ OMX Vilnius stock exchange. 


         More information:
         Andrius Pranckevičius,
         Deputy Managing Director of AB Linas Agro Group
         Phone +370 687 71 419
         E-mail a.pranckevicius@linasagro.lt