Manama: Truffle Hospitality and Bahrain Family Leisure Company B.S.C. (BFLC) announce the execution of a binding conditional agreement pertaining to the proposed merger between BFLC and Truffle Hospitality Holding W.L.L. (Truffle), an F&B subsidiary under Dividend Gate Capital, marking a transformative breakthrough for the F&B sector in the Kingdom of Bahrain. The agreement is subject to the successful completion of due diligence, while the proposed merger transaction requires approval from both shareholders and regulators.

This proposed merger represents a major milestone in the consolidation of Bahrain's dynamic F&B sector, potentially establishing one of the Kingdom's largest and most influential F&B companies. The agreement reflects the commitment of both companies to strengthening their market presence and delivering exceptional dining and hospitality experiences. By combining resources and expertise, the merger aims to elevate Bahrain's standing as a regional leader in innovation and excellence within the industry.

Commenting on the potential Merger , Mr. Abdullatif K. Al-Aujan, Chairman of BFLC, stated, "Bahrain is renowned for its refined culinary experiences, award-winning chefs, and strong home-grown brands. We are therefore pleased to proceed to finalize the merger with Truffle Hospitality, a partnership that will further build upon and expand the achievements of the market. This collaboration is perfectly aligned with our vision to drive substantial growth in the F&B sector. By combining our strengths with those of Truffle Hospitality, we are committed to elevating our offerings and services, ensuring they remain at the forefront of competitiveness and innovation in the sector."

Mr. Mohamed Nedham Khonji, Founder of Dividend Gate Capital & Chairman of Truffle Hospitality Holding, commented, "We are excited about this merger with BFLC, which aligns with our goal of fostering sustainable growth in Bahrain's hospitality sector. Together, the larger listed entity is expected to benefit from synergies and scale and a distinguished position in the market with the highest standards of quality, efficiency and leadership."

Commenting on the merger, Mr. Ahmed Janahi, Vice Chairman of BFLC, said, “This merger brings together an impressive portfolio of restaurants, making the combined entity a potential market leader in casual dining. With the strong synergies between BFLC and Truffle Hospitality, we aim to redefine dining experiences in Bahrain while setting new benchmarks for the industry. Our shared vision is to scale our brands, expand regionally, and solidify our position in the F&B space.”

For his part, Mr. Khaled Al Hammadi, Founder of Dividend Gate Capital & Board Member of Truffle Hospitality Holding, stated, “We are extremely optimistic about this merger given the robust entity it forms in the F&B and hospitality sectors. Leveraging the extensive collaborative history between both companies, we are confident that this union will propel us forward, enabling continued growth and expansion in the F&B services, while enhancing returns on investments in this promising sector. We believe that Truffle Hospitality, Dividend Gate Capital's hospitality investment arm, is strategically aligned to achieve its ambitious objectives, shaping this merger to push industry boundaries to new heights. This will strengthen and enrich our product offerings, increase operational efficiency and agility, and establish a solid foundation alongside BFLC for sustained growth.”

Wissam Haddad,  Group Head of Investment Banking at SICO, the lead advisor on the merger stated, “SICO is pleased to have advised and to continue to support the merger, and we look forward to its successful conclusion over the next few months”

This strategic merger not only fortifies the market positions of both entities but also paves the way for further innovations and enhancements in Bahrain's F&B industry. By combining their resources and expertise, Truffle and BFLC are well-positioned to deliver exceptional dining experiences and contribute significantly to the Kingdom's economic growth.

BFLC, a Bahraini public shareholding company listed on the Bahrain Bourse, operates leading F&B brands such as Cucina Italiana and Bennigan's. Truffle is dedicated to developing and scaling local and regional F&B brands, including Hong Kong, Goodness Café, Tikka & Kabab Ameen and Rasmalai, among others.