Saudi-based Almarai has completed its acquisition of Premier Foods from Alamar Foods
Saudi-based dairy conglomerate Almarai has completed its acquisition of Premier Foods from Alamar Foods in a deal worth SR108 million ($28.8 million).
Abdulaziz Alajlan & Partners advised Almarai on the deal which was completed earlier this week, a statement said.
Almarai, listed on the Tadawul stock exchange, is the Middle East's biggest food and beverage manufacturer and distributor and the world's largest vertically integrated dairy company.
David Monnier, of the Corporate and Commercial group at Abdulaziz Alajlan & Partners in Riyadh, said: "The transaction is emblematic of how active the food industry players are in the Gulf region and testament to the high volume of M&A activity in Saudi Arabian market.
"It is also a striking example of how Almarai's organic growth strategy supports a sustainable diversification of its operations by consolidating its vertically integrated activities."
Earlier this month, Almarai, the Middle East's biggest dairy producer, approved a new five-year business plan with plans to invest SR7.1 billion ($1.89 billion).
Under the 2020–2024 plan, Almarai said each of its business units will drive the company forward through growth and innovation across the traditional trade, modern trade and foodservice channels, with its operating model transformed by more automation, cyber systems, cognitive computing and the growing digitalisation of the food and beverage industry.
In January, Almarai said it sold its 33 percent stake in United Farmers Holding Company (UFHC) to Saudi Agricultural and Livestock Investment Company (SALIC).For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.