MANAMA: Saudi food giant Almarai has acquired 100 per cent shares in Bakemart UAE and Bahrain in a deal worth $25.5 million.
In a filing to the Saudi stock exchange Tadawul where Almarai is listed, it said the acquisition will further expand its product offering and enhance its contribution to the country’s food security in line with Saudi Vision 2030.
Established in 1977, Almarai is headquartered in Riyadh, Saudi Arabia and is actively engaged in five categories across the Middle East and North Africa (Mena) region: Dairy, Juice, Bakery, Poultry and Infant Nutrition. It is currently the Middle East’s leading food and beverage manufacturer and distributor.
Headquartered in Dubai, Bakemart is engaged in the production of frozen bakery items supplied to the food services and retail industries in the Middle East.
A report on Consultancy-me.com said Almarai will now control Bakemart’s myriad brands – Bakemart Gourmet, Healthya, Aalishan included – and continue its expansion in the regional food and beverage market.
The transaction is fully financed from Almarai’s operating cash flow, and the financial impact of the acquisition will be reflected in the next quarterly results, said the bourse filing.
In a separate statement, HC Securities & Investments said it acted as co-advisor to Almarai on the deal.
The bank’s head of investment banking Mohamed Aburawi said: “We are pleased to support Almarai on this important transaction in expanding its bakery business. HC has developed a long term relationship with Almarai for over a decade. This transaction also testifies to the HC’s cross-border execution capabilities.”
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