(Alliance News) - BF Spa announced Monday that, together with its subsidiaries Consorzi Agrari d'Italia Spa and SIS - Società Italiana Sementi Spa, it has signed an investment agreement with Eni Natural Energies Spa, a subsidiary of Eni Spa.

Specifically, the investment agreement envisages ENE's investment in the share capital of SIS for a total amount of EUR25 million, after which ENE's shareholding will amount to approximately 17%; this investment will be realized through the subscription of a share capital increase of SIS reserved for ENE and the transfer to ENE of a share in the share capital of SIS owned by CAI.

Again, it is planned that ENE and SIS will enter into a 10-year commercial framework agreement for the establishment and start-up of a non-food seed division within SIS by the end of June, as well as mutual obligations and rights regarding seed procurement by ENE.

At present, the transaction is expected to be executed by April 2024.

The transaction is part of the initiatives aimed at the BF Group's growth in the seed sector envisaged in the business plan for 2023-2027 and does not result in any changes from the outlook previously indicated to the market.

BF's stock closed Monday down 0.5 percent to EUR3.75 per share while Eni's stock gained 0.1 percent to EUR14.17 per share.

By Giuseppe Fabio Ciccomascolo, Alliance News senior reporter

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