Kinnevik invests USD 10 million in the micro finance fund microvest and acquires 30% of a farming company in the Ukraine

16 Jun 2009, 9:30 AM
Investment AB Kinnevik (publ) ("Kinnevik") today announced that it in the second quarter has committed to invest USD 10 million in a micro financing fund focusing on equity investments in micro financing companies in emerging markets. In addition, Kinnevik has acquired 30% of the shares in a Ukrainian farming company from the local investment company TAS.
The micro financing fund Mikroinvest II makes equity investments in leading micro financing companies in emerging markets. Kinnevik intends to actively work together with funds experienced management team and also to seek direct investments alongside the fund. In addition to Kinnevik, co-investors in Microvest II include IFC.
The investment in the Ukraine amounts to USD 4 million for 30% of the company with an option to increase the ownership to 50%. The company today owns and farms approximately 17,000 hectares of leased farming land in the regions Charkiv, Tjerkasy, Mykolayiv, Kirovohrad and Vinnytsia.
"Micro financing and farming are focus sectors for new investments in Kinnevik and we are pleased to have identified investments within these growth areas. Through Kinnevik's earlier investment in the African micro financing company Bayport and the new investment in Microvest, Kinnevik has a broad exposure to a sector in which we see a strong growth potential. The investment in the Ukraine follows the successful farming investments that Kinnevik has made previously and through Kinnevik's considerable expertise in the sector we expect to contribute to building a modern and profitable agricultural business," says Henrik Persson, Head of New Investments.
För ytterligare information, besök eller kontakta:
Henrik Persson, Head of New Investments
+46 (0)8 562 000 00
Torun Litzén, Director Investor Relations
+46 (0)8 562 000 83
+46 (0)70 762 00 83
Investment AB Kinnevik's objective is to increase shareholder value, primarily through net asset value growth. Kinnevik manages a portfolio of investments focused around three comprehensive business areas; Major Unlisted Holdings which includes the cartonboard and paper company Korsnäs including shares in Bergvik Skog, Major Listed Holdings which includes Millicom International Cellular, Tele2, Modern Times Group MTG, Metro International and Transcom WorldWide, and New Ventures which is active in finding new investments in small and mid sized companies which has a significant growth potential. Kinnevik plays an active role on the Boards of its holdings.
The Kinnevik's class A and class B shares are listed on the NASDAQ OMX Stockholm's list for large cap companies, within the financial and real estate sector. The ticker codes are KINV A and KINV B.