OREANDA-NEWS. On 07 March 2008 Kernel Holding SA announces the results of the offering of 5 400 000 ordinary shares of the Company.

5 400 000 ordinary shares were placed at a price of PLN 36 per share. The Offering raised gross proceeds of US$ 84 million (PLN 194 million). The proceeds (after deducting fees and expenses) will provide required capital for the Company's planned additional farming development in the Ukraine.

As previously announced, the shares that will be delivered to investors are already listed and therefore will be tradable on the Warsaw Stock Exchange immediately after settlement of the transaction, which is scheduled for Wednesday 12 March. Namsen Limited, a company controlled by Andrey Verevskyy, which as of the date hereof holds 40,574,250 shares of the Company, representing 64.06% of the issued share capital, will lend shares in Kernel for the purpose of settlement and to ensure that investors in the Offering can receive and trade their allocations immediately after settlement. The Extraordinary General Meeting ("EGM") held for the purpose of issuing an equivalent amount of new shares is planned for 7 April 2008.

In connection with the Offering, Kernel and Namsen Limited have agreed to a lock-up commitment for a period ending six months after the date of the proposed EGM with respect to the issuance or sale of further equity of the Company.

The Offering represents approximately 8.5% of the issued share capital before the Offering. The Offer Price is equal to a 6.3 % discount to the prevailing closing market price on the date of the Offering.

ING acted as Sole Bookrunner for the Offering.

Speaking on the Offering, Chairman of Board of Directors, Andrey Verevskyy, said "We are pleased to announce the successful offering of our shares. The funds raised will enable us to work on the further development of our farming division.  On behalf of the Company, we thank our existing shareholders for their continued support and take this opportunity to welcome our new investors."