Almarai takes full control of Joint Venture with PepsiCo in Egypt, Jordan

(MENAFN) Almarai, the Middle East's biggest dairy firm, has completed its acquisition of International Dairy and Juice Limited (IDJ), its former joint venture with PepsiCo in Egypt and Jordan. The acquisition was carried out by Almarai Investment Holding, which bought PepsiCo's 48 percent share in IDJ, bringing Almarai's stake in the company to 100 percent ownership. The deal was worth 255 million Saudi riyals (USD68 million) and was funded through Almarai's internal cash flows. According to Almarai, the purchase will enable the company to expand its presence in the region.

IDJ is a food and beverage manufacturing and distribution company that operates in Egypt and Jordan. The company also exports its products to other markets. Prior to the acquisition, IDJ was a joint venture between Almarai and PepsiCo.

The acquisition comes after Almarai reported a 24% rise in fourth-quarter net profit, buoyed by higher sales in its poultry and bakery businesses. The company's consolidated profit attributable to shareholders for the three months ending December 31, 2022, was 355.8 million Saudi riyals, up from the same period in the previous year.

Almarai is a major player in the food and beverage industry in the Middle East, with operations in Saudi Arabia, Egypt, Jordan, and the UAE. In addition to dairy products, the company also produces poultry, baked goods, and juices. The company has been expanding its footprint in recent years, as it seeks to capitalize on the growing demand for food and beverages in the region. With the acquisition of IDJ, Almarai is expected to further strengthen its position in the food and beverage industry in the wider region.

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