Almarai reported a fall in its first quarter net income on Sunday. Satish Kumar / The National
Almarai reported a fall in its first quarter net income on Sunday. Satish Kumar / The National

Saudi food companies agree on merger talks



Saudi Arabia’s food firm National Agricultural Development Company (Nadec) plans to start merger talks with Al Safi Danone Company, a joint venture between Saudi Arabia’s Al Faisaliah Group and French food firm Danone Group.

Nadec is proposing a tie-up with Al Safi Danone by buying all of Safi’s shares through a capital increase in Nadec, according to a Nadec statement posted on the kingdom's Tadawul stock exchange website.

The two companies have signed a six-month memorandum of understanding to commence merger talks and have agreed on an exclusivity period during which they will conduct financial, commercial and legal due diligence.

Current Al Safi shareholders will own 38.75 per cent of Nadec’s pro forma issued share capital upon completion of the proposed merger.

“The entry into these discussions does not guarantee that the proposed transaction will be completed,” Nadec said.

________________

Read more:

________________

The Public Investment Fund, the country’s sovereign wealth fund, owns 20 per cent of Nadec, according to the stock exchange website.

Nadec has a market capitalization of 2.59 billion riyals.

Nadec and Al Safi compete with Saudi Arabia's Almarai, the Arabian Gulf’s largest dairy company.

Last month Savola Group, one of the top food product companies in Saudi Arabia, said it was selling a 2 per cent stake in Almarai, a deal that could help boost Savola's sagging income. The sale of 16 million Savola shares in Almarai at 70 riyal a share will yield 1.12 billion riyal (US$307.6 million). The transaction will reduce Savola’s shareholding in the dairy company from to 34.52 per cent from its current level of 36.52 per cent.

Consumer spending in Saudi Arabia, Opec’s top oil producer, has declined amid lower oil prices and slower economic growth, which has affected retailers in the region’s biggest economy.

Mergers and acquisitions (M&A) in the region remain sparse. In the first half of this year, the number of M&A dropped 23 per cent to 192 deal from 250 deals in a year-earlier period, according to advisor Ernst & Young. The value of deals plunged 17 per cent to US$31.9bn in the first half from $38.9bn in the year-earlier period.

THE SWIMMERS

Director: Sally El-Hosaini

Stars: Nathalie Issa, Manal Issa, Ahmed Malek and Ali Suliman 

Rating: 4/5

Mumbai Indians 213/6 (20 ov)

Royal Challengers Bangalore 167/8 (20 ov)

North Pole stats

Distance covered: 160km

Temperature: -40°C

Weight of equipment: 45kg

Altitude (metres above sea level): 0

Terrain: Ice rock

South Pole stats

Distance covered: 130km

Temperature: -50°C

Weight of equipment: 50kg

Altitude (metres above sea level): 3,300

Terrain: Flat ice
 

Race 3

Produced: Salman Khan Films and Tips Films
Director: Remo D’Souza
Cast: Salman Khan, Anil Kapoor, Jacqueline Fernandez, Bobby Deol, Daisy Shah, Saqib Salem
Rating: 2.5 stars

THE DETAILS

Director: Milan Jhaveri
Producer: Emmay Entertainment and T-Series
Cast: John Abraham, Manoj Bajpayee
Rating: 2/5

Barcelona 3
Messi (27’, 32’, 87’)

Leganes 1
El Zhar (68’)

COMPANY PROFILE

Name: Xpanceo

Started: 2018

Founders: Roman Axelrod, Valentyn Volkov

Based: Dubai, UAE

Industry: Smart contact lenses, augmented/virtual reality

Funding: $40 million

Investor: Opportunity Venture (Asia)

KEY DATES IN AMAZON'S HISTORY

July 5, 1994: Jeff Bezos founds Cadabra Inc, which would later be renamed to Amazon.com, because his lawyer misheard the name as 'cadaver'. In its earliest days, the bookstore operated out of a rented garage in Bellevue, Washington

July 16, 1995: Amazon formally opens as an online bookseller. Fluid Concepts and Creative Analogies: Computer Models of the Fundamental Mechanisms of Thought becomes the first item sold on Amazon

1997: Amazon goes public at $18 a share, which has grown about 1,000 per cent at present. Its highest closing price was $197.85 on June 27, 2024

1998: Amazon acquires IMDb, its first major acquisition. It also starts selling CDs and DVDs

2000: Amazon Marketplace opens, allowing people to sell items on the website

2002: Amazon forms what would become Amazon Web Services, opening the Amazon.com platform to all developers. The cloud unit would follow in 2006

2003: Amazon turns in an annual profit of $75 million, the first time it ended a year in the black

2005: Amazon Prime is introduced, its first-ever subscription service that offered US customers free two-day shipping for $79 a year

2006: Amazon Unbox is unveiled, the company's video service that would later morph into Amazon Instant Video and, ultimately, Amazon Video

2007: Amazon's first hardware product, the Kindle e-reader, is introduced; the Fire TV and Fire Phone would come in 2014. Grocery service Amazon Fresh is also started

2009: Amazon introduces Amazon Basics, its in-house label for a variety of products

2010: The foundations for Amazon Studios were laid. Its first original streaming content debuted in 2013

2011: The Amazon Appstore for Google's Android is launched. It is still unavailable on Apple's iOS

2014: The Amazon Echo is launched, a speaker that acts as a personal digital assistant powered by Alexa

2017: Amazon acquires Whole Foods for $13.7 billion, its biggest acquisition

2018: Amazon's market cap briefly crosses the $1 trillion mark, making it, at the time, only the third company to achieve that milestone

Company Profile

Company name: Cargoz
Date started: January 2022
Founders: Premlal Pullisserry and Lijo Antony
Based: Dubai
Number of staff: 30
Investment stage: Seed

Ant-Man and the Wasp

Director: Peyton Reed

Starring: Paul Rudd, Evangeline Lilly, Michael Douglas

Three stars

In Full Flight: A Story of Africa and Atonement
John Heminway, Knopff

You might also like
Specs: 2024 McLaren Artura Spider

Engine: 3.0-litre twin-turbo V6 and electric motor
Max power: 700hp at 7,500rpm
Max torque: 720Nm at 2,250rpm
Transmission: Eight-speed dual-clutch auto
0-100km/h: 3.0sec
Top speed: 330kph
Price: From Dh1.14 million ($311,000)
On sale: Now

COMPANY PROFILE

Company name: Klipit

Started: 2022

Founders: Venkat Reddy, Mohammed Al Bulooki, Bilal Merchant, Asif Ahmed, Ovais Merchant

Based: Dubai, UAE

Industry: Digital receipts, finance, blockchain

Funding: $4 million

Investors: Privately/self-funded

ROUTE TO TITLE

Round 1: Beat Leolia Jeanjean 6-1, 6-2
Round 2: Beat Naomi Osaka 7-6, 1-6, 7-5
Round 3: Beat Marie Bouzkova 6-4, 6-2
Round 4: Beat Anastasia Potapova 6-0, 6-0
Quarter-final: Beat Marketa Vondrousova 6-0, 6-2
Semi-final: Beat Coco Gauff 6-2, 6-4
Final: Beat Jasmine Paolini 6-2, 6-2

Mia Man’s tips for fermentation

- Start with a simple recipe such as yogurt or sauerkraut

- Keep your hands and kitchen tools clean. Sanitize knives, cutting boards, tongs and storage jars with boiling water before you start.

- Mold is bad: the colour pink is a sign of mold. If yogurt turns pink as it ferments, you need to discard it and start again. For kraut, if you remove the top leaves and see any sign of mold, you should discard the batch.

- Always use clean, closed, airtight lids and containers such as mason jars when fermenting yogurt and kraut. Keep the lid closed to prevent insects and contaminants from getting in.

 


Energy This Week

Expert analysis on oil & gas renewables and clean energy

      By signing up, I agree to The National's privacy policy
      Energy This Week