BrasilAgro is one of Brazil‘s largest companies in terms of arable land and its core business consists of the acquisition, development, operation and sale of rural properties suitable for agricultural activities. We acquire rural properties that we believe offer significant potential for cash flow generation and value appreciation by holding the asset and developing profitable agricultural activities. Once we acquire our rural properties, we begin to implement high-value-added crops and to transform these rural properties by investing in infrastructure and technology, while also entering into lease agreements with third parties. In line with our strategy, when we understand a rural property has reached its optimal value, we sell it to capture the capital gains.
Since we first launched our operations in 2006, we have acquired a total of 10 rural properties, and we have sold three farms. Our business plan considers the price appreciation of our rural properties as the principal vector of our financial returns. We believe the value of a rural property is directly related to cash flow per unit of area. Accordingly, we seek to maximize the return on our investments by:
We actively manage our operations by combining the returns generated from our properties and from our operations, while mitigating weather and crop risks through geographic diversification and by obtaining high yields on our rural properties.
In keeping with its pioneering spirit, the Company, which was the first agricultural production company to list its shares on the Novo Mercado segment of the BM&FBOVESPA, will also be the first Brazilian agribusiness company to list its ADRs (American Depositary Receipts) on NYSE (New York Stock Exchange). This important step indicates the level of maturity the Company has achieved and aims to increase its exposure to the universe of investors and to facilitate access to its stock.
To generate value by acquiring, developing and operating land in a sustainable, innovative and differentiated manner.
To be the leading platform for investments and development of lands in Brazil.
Petro Reconcavo 2011
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