CPI Property Group, controlled by Czech billionaire Radovan Vítek, has purchased 20,000 ha of farmland and existing production. CPI paid €43.5m for a share of the company that owns the land, Spojené farmy. It also agreed to invest an additional €20m in Spojené farmy over the next two years.
CPI Property Group will finance the acquisition with its own equity and the head of the group, Martin Němeček says that the company will seek bank refinancing in the future. Němeček also said that CPI wants to further diversify its portfolio and that farmland is a safe investment, as it has potential for price growth in the Czech Republic.
