Aluksnes Putnu Ferma to receive EUR 2 million from Rural Support Service


SIA Aluksnes Putnu Ferma, which is a part of JSC APF Holdings (hereinafter – APF), on Friday, October 20, received a decision of the Rural Support Service (hereinafter – LAD) on approval of the project application, during which, the company, meeting all requirements for the support, will receive EUR 2 million for funding its development plans. APF currently is implementing its initial public offering (IPO) and the LAD funding will significantly improve the economic grounds for implementation of APF investment plans.    

Even though LAD decision increases the APF value, adding EUR 2 million to the company’s future cash flow, APF board has made a decision not to change the IPO share price, and it will remain at EUR 6.81 per share. LAD funding positively changes the financial model of APF future development plans, but the IPO Prospectus will not be changed.    

“LAD decision creates new and significant value for APF and its shareholders because those are EUR 2 million that will not have to be financed, undertaking future liabilities. Also, this decision will ensure additional confidence to all stakeholders – shareholders, banks, employees and partners - about compliance of the company with the highest requirements,” said Jurijs Adamovics, the board chairman of JSC APF Holdings.    

As reported, there is ongoing Initial Public Offering (IPO) of APF shares that will last until October 30. In total, 1,027,930 new shares will be offered for investments with the rights to increase this number with 103,000 additional shares, thus, the overall number of shares offered is 1,130,930.        

The goal of IPO is to raise EUR 7 million. According to IPO, APF plans to significantly expand its operations and by 2025 increase egg production by 60 percent and more than double its revenue from about EUR 11 million in 2022 up to EUR 25 million in 2025. With the help of IPO investors and further financing from the banks, APF plans to build two more hen houses in the addition to the current three and expand the capacity of the production support infrastructure. This will allow an increase in egg production from 115 million per year to 180 million per year and an increase in the number of laying hens to 665,000. In addition, APF plans to start egg processing with new equipment in order to create modern and healthy egg products.    

APF is being advised by Latvia’s leading investment bank Signet Bank on financial matters in connection with the planned IPO, while the sales agent in Estonia is JSC LHV Pank. The company is advised by Eversheds Sutherland Bitans on legal matters. Listing of APF shares on Nasdaq alternative market First North is planned on November 3 or shortly after that date.  JSC APF Holdings was founded in 2017 by Jurijs Adamovics to take over and modernize a 60-year-old poultry facility based in Aluksne. Today, JSC APF Holdings comprises a group of companies involved in poultry farming, chicken egg production and marketing, as well as production of gas and organic fertilizers as part of its poultry business. The group is made up of SIA Aluksnes Putnu Ferma (poultry farming and egg production), SIA APF Trading (wholesale trade in chicken eggs), SIA Oluksne (poultry farming and egg production services), SIA APF Energy (production of gas and organic fertilizers), and SIA Preilu Putni (poultry farming, rearing farm). Jurijs Adamovics is the largest shareholder in APF Holdings.        

Disclaimer: This announcement constitutes unpaid marketing communication under the Prospectus Regulation and does not constitute investment advice or offer. The information contained herein contains general forward-looking statements about AS APF Holdings’ intention to make an initial public offering of its shares. Each investment decision should be made on the basis of a Prospectus approved by the Bank of Latvia. The approved Prospectus is published on the website of the Bank of Latvia (