By helping the leading producers of agricultural commodities in Europe to expand China market

Hamburg, 25 June 2015. The KTG Agrar SE continues its profitable growth with the support of a new shareholder. Fidelidade-Companhia de Seguros SA, the largest insurance company in Portugal and an indirect subsidiary of Fosun (Fosun International Limited, HKEx stock code: 00656, and subsidiaries) will acquire 9.03%, equally to 620,000 shares of KTG Agrar SE subject to the fulfillment of certain conditions precedent.

As a leading China-based, globally orientated investment group, Fosun specializes in sustainable and value investments. The KTG Agrar SE corporate strategy “From the field to the plate” is integrated into its value chain and matches Fosun’s investment focus.

“Fosun’s involvement will be long term and it will support the KTG Group to exploit China as one of the largest consumer markets by placing our high quality products there. ‘Food made in Germany’ is currently experiencing a rising demand within China’s middle class population. Simultaneously, we will intensify our trade in agricultural commodities with the support of Fosun via our subsidiary C. Mackprang jr. GmbH & Co. KG. We see Fosun’s investment as an endorsement of our corporate strategy, which aims at quality products and brands as well as our strategy to consequently grow profitably. At the same time, Fosun will support us actively to solidly refinance our group,“ explains Siegfried Hofreiter, CEO of KTG Agrar SE.

In the last five years, Fosun has always followed an investment model called “Combining China’s Growth Momentum with Global Resources.” Fosun’s sights are set on the consumer demands of China’s rapidly growing middle class and their continuously upgrading lifestyles. In rapid succession, it, together with funds under its management has invested in French holiday resort chain Club Med, world's leading producer of high-quality live artistic entertainment Cirque du Soleil, Greek fashion brand Folli Follie, high-end Italian tailored menswear company Caruso, American luxury women’s apparel company St. John, leading German fashion and lifestyle brand TOM TAILOR, Hollywood movie company Studio 8 and British travel company Thomas Cook. Fosun also invested in BHF-BANK, one of the largest independent private banks in Germany. Fosun has leveraged its strengths to open up new channel resources, and it has worked hard to help these brands grow rapidly in China.

“We are really honored to corporate with KTG group. With the continuous growth of consumer demand in the China market, Fosun will be paying increased attention to investment in health related industries. As our first investment in an organic food and agricultural business, we continue to consequently implement our strategy ‘Combining China’s Growth Momentum with Global Resources’ for a new sector. As one of the leading producers of agricultural commodities in Europe, KTG has high quality products and well-known brands. Its proven business model is worthwhile spreading and applying globally, especially in the China market.  With our resources and competitive advantage, we will support the KTG Group by not only introducing its brands to the Chinese consumers but to also help it expands into the Chinese marketplace,” explains Wang Qunbin, President of Fosun.

 About KTG Agrar SE

With cultivable land of over 45,000 hectares, KTG Agrar SE (ISIN: DE000A0DN1J4) is one of the leading producers of agricultural commodities in Europe. As an integrated supplier, the company produces agricultural commodities, renewable energy and food. The Hamburg-based company's core area of expertise is the organic and traditional cultivation of market products such as cereals, potatoes, soy and rapeseed. KTG Agrar is the European market leader in organic market products. The company mainly produces in Germany but since 2005 also in the EU member state of Lithuania. Through the takeover of the companies Frenzel Tiefkühlkost and Bio-Zentrale Naturprodukte, KTG Agrar SE has been expanding the value chain since 2011 and added food production to its business portfolio. In 2014, KTG Agrar SE achieved a total output of EUR 297.7 million and an EBIT of EUR 37.1 million. The company has been listed on the Frankfurt Stock Exchange since November 2007 and employed more than 1,000 staff at year end 2014. Further information can be found on the company’s website at www.ktg.ag.