Abu Dhabi-based leading food and beverage company Agthia has completed the strategic acquisition of a majority stake in the Egyptian processed meat producer Ismailia Investments (Atyab), as it intends to expand its portfolio to increase growth.
The company now owns 75.02 percent of Ismailia Investments, and its founder and industry veteran, Mr. Attito Raslan, will keep a stake in the firm, Agthia said in a statement to the Abu Dhabi Securities Exchange, where its shares are traded.
“The conclusion of this transaction is a key milestone in Atyab’s growth story. The potential of being part of Agthia’s portfolio is very significant and I look forward to working with the group to take Atyab to its next phase of success,” noted Mr. Raslan.
“We are delighted to complete this acquisition that further strengthens our position in the processed protein sector and provides access to millions of new consumers in one of the Mena region’s fastest-growing economies. We welcome the “Atyab” team into our Agthia family and are committed to further developing the business and brand while expanding our product offering and distribution capabilities that will enhance our existing operations in a key growth market for us. At Agthia, we are continuing to actively pursue new, scalable opportunities as part of our strategy to establish the company as a food and beverage leader in the Mena region and beyond by 2025.”
Atyab, headquartered in Cairo, manufactures frozen chicken and beef products and has a portfolio of four brands that appeal to the Egyptian market’s economy and premium categories. The firm, which can process 70,000 tons of meat per year via its various facilities, has achieved a 28 percent compound annual growth rate between 2016 and 2020.
Building on its recent complementary acquisition of Nabil Foods in Jordan, Agthia will utilize Atyab to fortify its position at the forefront of the Middle East and North Africa (MENA) region’s developing processed protein sector.
Further, Agthia will be able to swiftly benefit from additional income streams, cost and revenue synergies, greater regional and channel knowledge, expanded product offerings, and improved financial performance and profitability, as part of the acquisition.