Danish group FirstFarms plans to sell over 1,675 hectares of farmland in western Romania.

The group bought the land in 2007-2008, but the profitability obtained from cultivating it hasn't been sufficient, the company implied. Economica.net estimates the expected sale price at DKK 85 million (EUR 11.4 mln), EUR 5.3 mln more than the investor paid for the land 12-13 years ago.

According to the company's activity report for 2019, "there are continuous improvements in terms of storage capacity in all centers, as this minimizes the sale of crops at harvest when prices are lowest."

FirstFarms owned 5,939 of farmland in Romania at the end of last year, with an estimated market value of DKK 377 mln (approximately EUR 50.5 mln).

FirstFarms reached a turnover of DKK 50.4 mln (EUR 6.7 mln) in Romania, in 2019, by operating some 7,600 hectares, of which 1,400 hectares were leased. Thus, the operations in Romania accounted for 15% of the group's total turnover.

FirstFarms also operates in Slovakia, the Czech Republic, and Hungary.

editor@romania-insider.com

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