AGRONOVA SRL company was founded at the end of the 2006, and is the subsidiary of LOSAN GROUP. Company Addres: Ioan Clopotel str. Nr. 14 500450 Brasov, The company was registered at the Brasov Trade Registry under the no. J/08/2363/2006, having the sole registration number RO19088039.

THE COMPANY DESCRIPTION The founding date, judicial status,

WWW.AGRONOVA.RO THE ECONOMICAL ACTIVITY Buying in Braila farm lands , leasing farm lands in - county

The newest investment of Grupo Losan is Agronova, a company dedicated to agricultural business in Romania . The company began its activity in 2006 by acquiring agricultural lands in Braila county – Romania .

Up to now the company owns 3,200 has. of agricultural lands in Braila County (Insuratei, Gemenele, Bordei Verde, Romanu, Ramnicelu) which is leased to local farmers for 5 years.

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WWW.AGRONOVA.RO AT THE END OF 2007 & JULY 2009 AGRONOVA SIGNED UP 2 LEASE AGREEMENTS FOR 7,000 HAS. AGRICULTURAL LANDS WITH ROMANIAN STATE AGENCY PROPERTIES FOR 30 YEARS.

Our company has begun the rehabilitation of the (1) primary irrigation system ,consisting in pipes , pumps , water channels (from these assets gets the water necessary for irrigation through buried pipes & channels up to the lands which needs water), (2) vegetable farms, (3) technological roads, (4) electricity lines, investment that are vital for good operation of agricultural activity in every farm.

At the time being , the agricultural surfaces are worked with varied crops : wheat, sun flowers, corn, rapeseed, alfalfa. www.yourwebsite.com

WWW.AGRONOVA.RO WWW.AGRONOVA.RO We have bought agricultural machineries for working the land of high generation, reflecting their performance in the quality of arable works and finally in high productions and qualities of the crops: . 10 tractors Fendt 360CP with ploughs and 4 tractors CASE 600CP with ploughs; . large machinneries for seeding and other agriculture operation such as fertilize, herbicide; . cereal dryer brand Stela, drying capacity of 25 tones / hour;

AGRICULTURAL MACHINERIES

We chose these high power equipments to ensure the necessary farm works – ploughing for the entire leased surface; these tractors helps us to maintain low costs due to their liability to make many works in agriculture & low fuel consumption & maintenance cost.

WWW.AGRONOVA.RO CENTER PICTURE

Far far away, behind the word mountains, far from the countries Vokalia and Consonantia, there live the blind texts. Separated they live in Bookmarksgrove right at the coast of the Semantics, a large language ocean.

We hired experienced people, our personnel structure has 4 agricultural engineers and 2 irrigation engineers, personnel which is working on these machineries has been trainned during these years .

The most important investment is the acquisition of the 39 irrigation pivots and 7 irrigation ramps, investment which was completeted in 2013 .

This investment ensures the irrigation of ~ 5,000 has. of agricultural land from the total of 7,000 has. through an investment of ~ 4.5 million euros from an Romanian bank . WWW.AGRONOVA.RO OUR BUSINESS PLANS IN CORABIA, OLT ARE ON A LONG TERM Here are shortly some of the business issues we intend to achieve in the next 5 years

•Investments in the quality land (through agricultural work and quality materials – seeds, fertilizers, herbicides) so that these surfaces can be reasonably exploited and to ensure a high production. We wish to underline the fact that these 7,000 has. surfaces weren’t worked in the last 7 years, the level of herbage overgrowed was very high, additional herbicidation and deep ploughing farm works > 25 cm were necessary, disking with heavy disks.

•Rehabilitation and modernization of the primary irrigation system –which is in our property. By this, we pursue the efficiency of costs for irrigating the lands made by these systems, surfaces which are cultivated now by us (the old system has a high energy consumption; it must be reconfigured so can ensure the water necessary for the plants with the lowest costs).

•Increase the irrigated surfaces up to 7,000 has , using the irrigation pivots or ramps.

•Rehabilitation of the existent farms in the area, which are in our property, ensuring the necessary deposit space for the farming equipments, cereals, fertilizers.

•Processing the cereal crops , or any other plants which can be cultivated for forages , namely by briquetting it in green alfalfa pelletsSlide / or01 alfalfa bales .

• We want to implement 10 cells of cereal storage of 2,000 tones each cell , which will complete the cereal’s dryer equipment we have now , so the storage capacity will grow and will ensure up to 30 % of the total WWW.AGRONOVA.RO production from these lands. WWW.AGRONOVA.RO THE FACTORY FOR PROCESSING GREEN FORAGES On 2015 we have started the production of green forages , especially produced from alfalfa , the factory is located near the agricultural lands worked by Agronova in village- OltCounty.

The raw materials for the factory are produced mainly by Agronova on irrigated areas located in . Agronova is the company specialized in agricultural crops , an activity very important for the industrial process for the following reasons :

Quality of raw material – the raw alfalfa / other green grass has an hight impact in the final quality of the green forages processed in the factory , as % protein , energy value , elemental composition ; Slide / 01 Quantity and supply safety – our experience in Romania shows that varios farmers do not or can not make farms asociations . For this reason supplying raw materis for this kind of factories is practically imposible , more of that , the quality of the raw matarials bought form diferent farmers is not standard or can not be cultivated due to the lack of irrigation systems ; WWW.AGRONOVA.RO AGRONOVA FARMING SUCCESSFULY

 Our work in Agronova , on our own estates and on leased land, is subject to strict controls and monitoring crops as we can obtain the highest yields and production quality, while maintaining the sustainable balance of the land and suitable costs o production.

 Our careful about the production process and the quality of raw materials allows us to fulfil our main objective: to offer optimal quality in our products and services for the animal farms of any kind : rumiants/ pigs/ birds/ horses.

 Our end customers are encouraged to join with in our daily work so we can meet all their demands about the right nution balance for the animals growed by them.

 Our factory will process annually more than 35,000 tons of our own forage production as well as processing and managing that of other collaborators.

 The strategically location of the factory , near Danube river will ease the distribution on water to the forign clients in Europe , Turkey or Middle East.

 Our activity today is the result of an project that is implemented on 2014 , the investment of 3,5M euro consisting in WWW.AGRONOVA.RO buildings and modern technological equipments from Apisa Spain.  Including perennial forages such as alfalfa in a crop rotation has long been recognized as a sound agronomic practice.

 Prior to the development of commercial fertilizers and herbicides, alfalfa was an essential component of a grain WHY PROCESSING system as it added nutrients to the soil and interrupted pest cycles.

ALFALFA ?  As modern day agriculture moved to cropping rotations that used only annual crops, the use of forages as part of a rotation fell into disfavour. In recent years, however, interest in perennial forages as part of an annual crop rotation has been increasing.

WWW.AGRONOVA.RO ALFALFA’S PELLETS OR BALES Reasons for processing alfalfa’s pellets or bales for animal fodders

 Higher protein % in the total dry fodder;

 The alfalfa fodder contains an excellant elemental composition as : minerals ( calcium , phosforos , magnesium , potassium) , vitamins C , D , E and K;

 Has a great balance between crude fiber , FDN , sugars & metabolizable energy;

WWW.AGRONOVA.RO ANIMAL WELFARE LEEDS TO QUALITY OF HUMAN FOOD The process of preserving crops by fermentation in silos is under the control of the farmer to a much lesser degree compared to the level of control by the manufacturer over the production of green forages .

Additives designed to direct the extent and pattern of the fermentation are relatively unpopular in most countries, and their use is not guaranteed to remove the risk of undesirable components in silage. Hazards to animal health associated with silage fall into three categories: (1) undesirable micro-organisms e.g. Listeria, enterobacteria, clostridia and moulds; (2) undesirable chemicals, e.g. mycotoxins, and (3) excess acidity and other metabolic disorders.

In some regions of Europe, the production of silage is discouraged or prohibited because of the riskSlideof /undesirable 01 microbes.

Mycotoxins and phytoestrogens may survive the ensiling period and constitute risks to animal health. Relatively little is known about the epidemiology of diseases that may be linked to undesirable chemicals and excess acidity in silage. WWW.AGRONOVA.RO MARKETING AND DISTRIBUTION Products marketing, the way in which the company distributes its products

(has its own sale network, sells wholesale or retail). www.agronova.ro AGRONOVA SRL Working Point: DN 54 A; Km 16,0 237306 / OLT Romania Phone: (+4) 0744 755 418 Fax: (+4) 0372 678 199 Email: [email protected] Web: www.agronova.ro www.losan.ro

Grupo Losan Romania