BRF Acquires More Shares in Federal Foods19 February 2014
UNITED ARAB EMIRATES - BRF has signed a binding offer with Al Nowais Investments, for the purchase of additional shares in Federal Foods Limited, under the regulations of the United Arab Emirates (UAE).
The acquisition will be made by the subsidiary of BRF Austria, for a total investment of US$27.8 million.
Al Nowais Investments will continue to act as the local partner in Federal Foods BRF and other opportunities in the UAE.
The acquisition of 49 per cent of capital stock of Federal Foods BRF was completed in January 2013, when the company became the holder of 60 per cent of that company's shareholder rights under a shareholders' agreement between the parties at the time, representing investment of $37.1 million.
The Federal Foods, a privately held company based in the capital Abu Dhabi, is a leader in food distribution in the UAE, covering broad scope of clients from retail, food service and wholesale.
The company has been a distributor of Sadia products in the UAE for more than 20 years, as well as a range of chilled, frozen and dry products from other brands and suppliers.
This new acquisition is in line with the strategic plan for internationalisation of BRF that prioritises access to local markets, aiming to strengthen their brands, distribution and expansion of its product portfolio in the Middle East.ThePoultrySite News Desk