Announcement on the approval of the Laško Group Strategy for the Period 2015–2019
Pursuant to the provisions of the Financial Instruments Market Act (ZTFI) and the Rules and Regulations of the Ljubljana Stock Exchange, d.d., Pivovarna Laško, d.d., Trubarjeva 28, 3270 Laško, hereby makes the following announcement:
At the 17th session held on October 13, 2014, the Supervisory Board of Pivovarna Laško, d.d., confirmed the Laško Group Strategy for the period 2015–2019. The strategy anticipates growth in terms of volume and revenue. Revenue from sales of products and services will grow by an average of 1.8% per year to a planned amount of EUR 175.5 million by 2019. By then, EBITDA is planned to exceed EUR 52 million. The capital increase process will continue as well. It is expected to be completed in the year of 2015, with new contributions amounting to EUR 75 million or more. Divestment of subsidiaries Delo and Radenska will continue as per the Restructuring and Standstill Agreement signed by the Laško Group with creditor banks in late April of 2014. The cash flow from capital increase, divestments, and current positive results will be mostly allocated for deleveraging. It is the Group's goal to attain a sustainable level of debt by the end of 2016. The targets laid down in the strategy will be pursued through 12 strategic initiatives which include legal merger of the companies Pivovarna Laško and Pivovarna Union in to a single company; this is planned for January 1, 2016.
In the period ahead, Laško Group will devote most of its attention to development of and investment into own brands and to strengthening of their market position. It will further beef up its presence in international markets, especially in Bosnia and Herzegovina, Italy, Serbia, Croatia, and Kosovo, and it will seek to penetrate new markets. In Slovenia, the Group will seek to maintain its market positions.
A major part of the cash flow will be allocated to new investments in order to improve the technological and energy efficiency, logistics, and environmental sustainability. Thus, total investment in the five years until 2019 will exceed the total depreciation level. It is the Laško Group's vision to become a leading regional manufacturer of beer and non-alcoholic beverages.
A summary of the Laško Group Strategy for the Period 2015–2019 is attached herewith.
Laško, October 13, 2014 Management Board
- Skupina_Lasko_-_Strategy_summary_2015-2019.pdf1.0 M