Lamb Weston / Meijer has acquired a majority stake in its joint venture with the Russian Belaya Dacha Group. The joint venture has started a study into further expansion of the production capacity.
Lamb Weston / Meijer has increased its ownership position in the joint venture from 35.5 percent to 74.9 percent. With this step Lamb Weston / Meijer strengthens its position in the market for frozen potato products in Russia in the existing joint venture. The joint venture owns Russia’s largest French fries factory.
The potato processor started a joint venture with the Belaya Dacha Group four years ago. We both saw unique opportunities in a fast-growing Russian market, ”says Peter van Wouwe of Lamb Weston / Meijer. In 2016, the start-up of a large-scale production facility – the first large French fries factory in Russia – was a key priority for the joint venture partner. From the start of the joint venture, it was agreed that the Belaya Dacha Group would initially take a majority position, after which Lamb Weston / Meijer would have the opportunity to expand its ownership position over the years.
Belaya Dacha shareholder Vladimir Tsyganov remains owner of the minority stake.
