OREANDA-NEWS. On April 17, 2007 Cherkizovo Group, one of Russia's leading integrated and diversified meat producers, announced it has signed a Memorandum of Understanding ("MoU") anticipating the acquisition of 100% of the share capital in the holding company of OAO Chicken Kingdom ("Chicken Kingdom").  Further information will be released once the final details of the acquisition have been agreed, reported the press-centre of Cherkizovo Group.

Chicken Kingdom is one of the largest Russian poultry producers with a fully integrated poultry production cycle and operations in both Lipetsk and Bryansk regions. The company produces chilled and frozen poultry products under the "Chicken Kingdom" brand name (one of the most recognized Russian poultry brands).  Annual volumes last year were approximately 70,000 tons.

Commenting on the signing of the MoU, Sergey Mikhailov, CEO of Cherkizovo, said: 
"This acquisition is a major step forward for Cherkizovo as we continue to benefit from the ongoing consolidation within the Russian poultry producing market. The deal makes us the number one chicken producer in Russia, and at the same time strengthens our position in the central region of the European part of Russia."