Croatian agri-food giant Žito Group on June 26 launched a public offering of shares, aiming to raise between €118mn and €141mn to fund investments and strategic acquisitions as it prepares for a listing on the Zagreb Stock Exchange.

Of that total, Žito expects to receive approximately €95mn to €113mn for reinvestment into the company, with proceeds earmarked for projects in its new investment cycle and selective acquisitions.

"We are entering a new phase for the Žito Group," said CEO Marko Pipunić. "We want to give everyone the opportunity to become our partner in further growth and development."

The public offering opened on June 27 and will run through July 9, targeting the sale of up to 6.65mn shares at a price range of €18.50 to €22.00 per share, the company said in a statement. The shares will represent at least 25% plus one share of Žito’s total equity following the issuance.

The offering includes a combination of newly issued shares (up to 4.37mn), treasury shares (up to 1mn), and existing shares for sale (up to 1.28mn). The Croatian Financial Services Supervisory Agency (HANFA) approved the offering prospectus on June 12.

Based in Slavonia, Žito Group is one of Croatia’s largest vertically integrated agricultural and food producers, with operations spanning crop and livestock farming, food industry processing, and trade. The company employs around 1,200 people and works with more than 3,000 subcontractors cultivating an additional 60,000 hectares of land.

Žito is Croatia’s top egg producer and a leader in oilseed processing. It is also the country’s second-largest pig producer. In 2024, the group generated €335mn in revenues, with a record EBITDA of €66.3mn, reflecting a 19.8% margin.

In the next three years, the company plans to invest €125mn across its core business areas, expanding digitalisation, automation and production capabilities. 

“We will distribute investments across all four key segments: arable farming, livestock, industry and trade,” said finance board member Jozo Ljubičić.

The IPO is open to employees of the group and its subsidiaries, small investors, and qualified investors in Croatia. After the offering concludes, Žito intends to list all shares on the Zagreb bourse’s Official Market.

With a strong presence in regional markets such as Hungary, Italy, Serbia, Slovakia, Kosovo, Germany and Austria, a third of Žito’s 2024 revenues came from exports. The group says its vertically integrated and highly digitalised operations give it a competitive edge at the European level.

"Our business model ensures full traceability and high-quality products ‘from field to table’,” said board member Josip Bičvić. “That, combined with new investments, will position us for sustainable growth.”