Lamb Weston / Meijer acquires majority share in Russia’s first large scale French fries factory Tuesday 08 December 2020

Lamb Weston / Meijer acquires a majority share in its joint venture with the Russian Belaya Dacha Group. The company has an ambitious growth strategy and has started a study to expand production capacity.

Lamb Weston / Meijer, a leading potato processor, strengthened its position in the frozen processed potato market in Russia with the acquisition of a majority share of its existing joint venture with the Belaya Dacha Group. The joint venture owns Russia’s largest French fries factory.

Peter van Wouwe , CFO Lamb Weston / Meijer: “In 2016 we started a joint venture with the Belaya Dacha Group, because both parties saw unique opportunities in a rapidly growing Russian market. Now, after four years, we are pleased to increase our share, and look forward to continue supporting our Russian customers and international key accounts in optimizing their own value chain and growing their businesses.

This agreement builds on the successful collaboration with Belaya Dacha Group which started in 2016. At the time, starting a large-scale potato processing plant – the first large french fries factory in Russia – was a key priority for the joint venture partner.

The initial joint venture partnership established that the Belaya Dacha Group would initially have a majority share position, with Lamb Weston / Meijer having the opportunity to increase its ownership position over the years. The current transaction provides that Lamb Weston / Meijer increases its ownership position in the joint venture to 74.9% from its original position of 35.5%.  

Belaya Dacha shareholder Vladimir Tsyganov will continue to own the minority share and continue the successful partnership.  

The transaction has been approved by the Federal Antimonopoly Service (FAS) in Russia.

About Lamb Weston / Meijer

Lamb Weston® is a world leading brand in high quality potato products and is sold in over 100 countries around the world. Lamb Weston / Meijer serves markets in Europe, the Middle East, Africa and Russia. The company supplies frozen potato products such as fries, Twisters®, Potato Dippers and Connoisseur Fries to customers in the Foodservice, Quick Service and Retail segments. Next to this they also provide ingredient solutions for the food industry. For 25 years, Lamb Weston / Meijer has led the industry in innovation, by introducing inventive products and solutions that add convenience to the operations of its customers. From the fields where their potatoes are grown, to proactive customer partnerships, Lamb Weston / Meijer has a clear sustainability ambition and always raises the bar. The company operates six factories in Europe: four in the Netherlands, one in the United Kingdom and one in Austria. In addition, Lamb Weston / Meijer established a Joint Venture with the Russian Belaya Dacha Group and operates the first French fry factory in Russia. Lamb Weston / Meijer employs 1,700 people, including LWM RUS. www.lambweston.eu  

About Belaya Dacha

The Belaya Dacha Group combines a variety of businesses specializing in growing and processing of vegetables, planting trees, garden and landscape design and in recent years extensive real estate development. Belaya Dacha is the number 1 brand in the fresh-cut salads category on the Russian market and has two production facilities, one in the Moscow region and one in the Republic of Tatarstan. Having spent more than 95 years working in the agricultural industry and being a major landowner in the Moscow region, Belay Dacha began to focus on real estate development in 2003. Starting with development of Class A warehouses, Belaya Dacha’s portfolio of completed projects today is over 1 million sqm and includes 150.000 sqm of logistics properties, Mega Belaya Dacha, Outlet Village Belaya Dacha, residential and mix use development projects.