Ekosem-Agrar GmbH: Creditreform downgrades rating to B-

Walldorf, 7 August 2015 – Creditreform has adjusted the corporate rating of Ekosem-Agrar GmbH, the German holding company of Russian milk producer Ekoniva Group, from B+ to B-. According to the rating agency, the downgrade is attributable, among other things, to the continued uncertain geopolitical situation in Russia and the resulting depreciation of the rouble, which led to a reduction in the company’s equity capital in the financial year 2014.

Ekosem-Agrar is of the opinion that the rating does not aptly reflect the sustainable positive operating performance of the company. Moreover, the July 2015 capital increase by EUR 38 million has greatly improved the Group’s equity capitalisation. Last but not least, the difficult geopolitical situation has not had a negative impact on the Russian agricultural and dairy sector so far, which confirms the anticipated profitable growth of Ekosem-Agrar in the current financial year.