Overview
The company specialises in growing grains and oilseeds. Its land bank totals 450 hectares, all of which is under cultivation. The farm has established operating processes, a local team and direct sales channels to agricultural processors.
Location: central Ternopil region. Oilseed processors, flour mills, feed mills and poultry farms are located within a 150 km radius. Road access supports the delivery of inputs and the shipment of harvested crops.
Land bank
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Area: 450 hectares of leased farmland comprising privately owned land plots.
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Lease expiry dates: 2032–2042.
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Land rent: UAH 7,500/ha.
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Soil type: chernozem (black soil).
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Field sizes in the main cluster: 4–60 hectares; consolidated blocks of 70 hectares, 30 hectares and 25 hectares are located in neighbouring settlements.
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A functioning drainage ditch system removes excess water from part of the farmland.
Crop production
The farm grows corn, soybeans, wheat, rapeseed and sunflower.
Average yields:
| Crop | Yield, tonnes/ha |
|---|---|
| Corn | 10–15 |
| Soybeans | 3–4 |
| Wheat | 7–9 |
| Rapeseed | 4–5.5 |
| Sunflower | 3–4 |
Conventional tillage is used, including discing, ploughing and deep loosening, depending on the crop. Granular mineral fertilisers are applied. Organic fertilisers were regularly applied to the land until 2016.
Harvested crops are sold primarily to processors.
Assets and infrastructure
The farm uses the following assets:
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A leased grain storage warehouse of 1,100 m²: 8 m high, with an asphalt floor and plastered brick walls. Stated storage volume is 4,000–5,000 m³.
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An owned operational base on a 0.46-hectare plot: a 150 m² machinery shelter, 60 m² of utility buildings, two residential houses and a 10,000-litre fuel tank.
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A fleet of agricultural machinery: a detailed list is available upon request.
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Three water wells on separate plots, two of which are operational; transformers are located nearby.
GPS tracking is used to monitor machinery, while Feodal Land is used for land records and monitoring.
A plot near the highway is available, with its designated land use changed to allow warehouse construction and agricultural processing. The plot has a water well and a transformer. The terms for its inclusion in the transaction are subject to separate negotiation.
Team and management
The farm employs local staff, including a tractor operator and a land management specialist. Accounting and legal services are outsourced, while agronomic support is provided by an external consultant.
The team is willing to continue working following a change of ownership. To facilitate a gradual management handover, the owner is also prepared to remain involved in the farm’s operations for an agreed period.
Financial performance
Reported production costs range from $800 to $1,200/ha, depending on the crop. Average net profit over the past five years has been approximately $500/ha.
The farm uses approximately $200,000 of its own working capital to finance operations through to harvest.
Growth potential
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Further expansion of the land bank in surrounding settlements.
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Upgrading the machinery fleet to match the current cultivated area.
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Construction of a new operational base and expansion of storage capacity.
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Development of agricultural processing operations.
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Assessment of opportunities for irrigated vegetable production.
Sale terms
Transaction scope: a 100% equity interest in the agricultural company.
Asking price: $1,348,000, comprising:
| Valuation component | Value |
|---|---|
| Lease rights to 432 hectares at $3,000/ha | $1,296,000 |
| Operational base and machinery | $52,000 |
| Total | $1,348,000 |
Work in progress is excluded from the stated base valuation. Its actual value will be determined by the fieldwork completed as of the transaction date.
The potential purchase of owned agricultural land plots is also open for discussion.
Reason for sale: the owner’s transition to another business sector.
