Squire Sanders Provides Cross-Border Advice on US$143 Million Sale of Leading Russian Poultry Company

    View Contact / News /Moscow

    Moscow – Global law firm Squire, Sanders & Dempsey L.L.P. has advised on the sale of leading Russian poultry company Chicken Kingdom. Cherkizovo, one of Russia’s leading integrated and diversified meat producers, acquired 100 percent of the share capital along with the trademarks used by Chicken Kingdom for a purchase price of US$143 million. Chicken Kingdom, which had been operated by a US investment fund, Golden Rooster, is managed by Agribusiness Management Company (AMC) which is the management company for Agribusiness Partners International (API).

    Chicken Kingdom was an attractive target with sales revenue of US$109 million in 2006. The company is a well known brand in Russia, rated number one for quality in its markets. Chicken Kingdom is known for its state-of-the-art poultry production facilities in Lipetsk and Bryansk. API is a US$100 million private equity investment fund which was organised to invest in food and agribusiness companies in the former Soviet Union.

    Cherkizovo is one of the largest poultry producers in Russia, producing and packaging more than 1.2 million birds per week. The company is also one of the largest employers in the three regions of Russia in which it operates, with over 2,800 employees.

    Squire Sanders’ transactional experts from the United States, the United Kingdom and Russia provided cross-border advice on the deal, with a team that included corporate lawyers in Russia and the United States. Partners David M. Wack (Moscow) and Sarah C. Carey (Washington DC) led the deal, with assistance from senior associate Patrick J. Brooks (Moscow), associate Denis A. Polyakov (Moscow), associate Anna E. Manyatkina (Moscow) and associate Elena E. Yurkina (Moscow).

    Carey commented: "This deal is a good example of a US investment fund coming in early and building a modern plant with top quality managers, then selling it to a strong local competitor.  It also reflects the dramatic growth in the Russian consumer sector, particularly food processing, and the trend toward local production instead of massive imports. Squire Sanders lawyers are working on many projects involving production in the consumer sector."

    Squire Sanders has advised AMC/API in regard to previous transactions in the Commonwealth of Independent States including dairy facilities in Ukraine.

    Squire Sanders’ substantial and rapidly expanding international practice represents clients with investments across the globe. The firm’s global platform helps it assist clients wherever their business interests lie. With lawyers who handle business-related transactions in 30 offices and five associated offices around the world, they can meet client requirements for in-country or cross-border transactions for clients across the Americas, Europe and Asia, and in all of the world’s major capital, financial and regulatory centres.

    The firm and many individual lawyers have been highlighted in recent editions of Chambers USA, Chambers Europe, The European Legal 500, American Banker, PLC Which Lawyer?, Chambers Global: The World’s Leading Lawyers, and IFLR 1000.

    Founded in 1890, Squire, Sanders & Dempsey L.L.P. has approximately 800 lawyers in 30 offices and 14 countries around the world. With one of the strongest integrated global platforms and a longstanding one-firm philosophy, Squire Sanders provides sophisticated seamless legal counsel worldwide. Offices in the Americas are located in Cincinnati, Cleveland, Columbus, Houston, Los Angeles, Miami, New York, Palo Alto, Phoenix, San Francisco, Tallahassee, Tampa, Tysons Corner, Washington DC, West Palm Beach, Caracas, Rio de Janeiro and Santo Domingo. In Europe, offices are in Bratislava, Brussels, Budapest, Frankfurt, London, Moscow, Prague and Warsaw. In Asia, offices are in Beijing, Hong Kong, Shanghai and Tokyo. Associated offices include Bucharest, Buenos Aires, Dublin, Kyiv and Santiago.                                                                                              


    Drez Jennings
    Marketing Communications Manager
    Squire, Sanders & Dempsey L.L.P. 

    Anika Morshead
    European Media Relations Manager
    Squire, Sanders & Dempsey L.L.P.

    Press Contacts

    Angelo Kakolyris +1 212 407 0148