PHOTO
Saudi Arabia's Savola Group said its wholly owned subsidiary, Savola Foods Company, has signed a binding share purchase agreement to fully acquire Bayara Holding Limited, for 975 million Saudi riyals ($260 million).
The fully cash transaction will be financed through a combination of operating cash flows and available bank loans, the kingdom's largest food products company said in a statement on Tadawul Sunday.
It has appointed Ernst & Young Corporate Finance Limited as its financial advisor.
Savola had set a five-year strategy to expand in its eight existing markets, particularly Saudi Arabia and Egypt, through the acquisition of existing entities and the launch of new products. It made a net profit of 154 million riyals for Q1-2021, 11 percent lower year-on-year.
Bayara, which manufactures and distributes branded snacks, is a privately held company operating out of the United Arab Emirates and Saudi Arabia.
(Writing by Brinda Darasha; editing by Daniel Luiz)
Disclaimer: This article is provided for informational purposes only. The content does not provide tax, legal or investment advice or opinion regarding the suitability, value or profitability of any particular security, portfolio or investment strategy. Read our full disclaimer policy here.
© ZAWYA 2021
