By Staff writer
Conglomerate says it has divested its 100% stake in Marmum Dairy Farm and its distribution unit
Dubai Investments, a conglomerate in which sovereign fund Investment Corp of Dubai owns an 11.5 percent stake, has announced that its wholly-owned subsidiary Dubai Investments Industries has divested its 100 percent stake in Marmum Dairy Farm and its distribution unit United Sales Partners.
The deal with UAE-based Elite Agro, a subsidiary of Emirates Advanced Investments Group, has resulted in an income gain of AED186 million ($50.6 million) for the company, a statement said.
Khalid Bin Kalban, managing director and CEO of Dubai Investments, said: “Dubai Investments acquired Marmum Dairy Farm in 1996, and established USP in 1999 and these investments were well timed as the company capitalised on the rapid growth of the food sector in the region.
“The divestment in Marmum and USP is part of the company’s strategy to continuously create value for its stakeholders. The sale to Elite Agro will enable Marmum and USP to reach next level of growth given the synergy of their businesses.”
Last month, Dubai Investments reported a 2.9 percent rise in fourth-quarter net profit on Monday, according to Reuters' calculations.
Profit was 368.5 million dirhams ($100.3 million) in the three months to Dec. 31, compared with a profit of 358.1 million dirhams in the corresponding period of 2015.