TALLINNA KÜLMHOONE AS

ANNOUNCEMENT

21.10.99

 

 

MERGER OF TALLINNA KÜLMHOONE AS AND LITHUANIAN KPC 

 

As a result of year-lasting talks, the leading Baltic ice-cream 

producers Tallinna Külmhoone AS and Lithuanian KPC have reached 

an agreement about the merger of the two companies. The merged 

company will be the largest ice-cream producing company in the 

region with planned annual turnover of 500 million EEK. The merger 

of Tallinna Külmhoone and KPC is the first merger of large 

Estonian and Lithuanian companies.

 

The goal of the merged company of Tallinna Külmhoone and KPC 

(Kauno Pieno Centras) is to compete successfully in the Baltic 

countries and on the largest export markets. 

 

The minority shareholders of Tallinna Külmhoone AS and KPC will 

be offered an opportunity to exchange their shares for shares of 

the holding company managing the two factories. The offering will 

be presented to the shareholders after incorporation of the 

holding company. 

 

Tallinna Külmhoone AS is listed on the Tallinn Stock Exchange. The 

company's turnover in 1998 amounted to 335 million EEK. The company 

employs 350 workers; the 1999 turnover forecast stands at 375 million 

EEK. Production and sale of ice-cream accounted for 30% of the 

company's turnover, and sale of refrigerated and frozen foodstuff 

accounts for 70%. 

 

KPC turnover in 1998 amounted to 5.2 million USD (78.4 million EEK), 

of which production of ice-cream accounted for 100%. The company 

employs 190 workers (up to 300 workers in summer). 

 

 

Margus Puust

Chairman of the Supervisory Board

Tallinna Külmhoone AS