Abu Dhabi – Mubasher: The board of Agthia Group has approved to acquire a majority stake in Nabil Foods, a producer of frozen and chilled processed protein products in Jordan, after obtaining some key regulatory approvals.
Agthia would acquire an 80% stake in Nabil Foods, including a 60% stake acquired from ADQ in exchange for a convertible instrument, according to a press release on Thursday.
The convertible instrument will convert into shares in Agthia at a fixed price of AED 5.50 per share, implying an equity value of AED 394 million.
In addition, the company would hold a 20% stake from Ideal Holding Limited in exchange for cash.
Agthia’s board will call for the ordinary general meeting (OGM) for the shareholders to vote on the acquisition, which will enable the company to enter for the first time into the processed protein industry.
The CEO of Agthia Group, Alan Smith, said: "This acquisition will be a key part of Agthia’s growth plans, providing us with presence in Jordan for the first time while contributing to a stronger financial profile, wider regional access, enlarged asset base, and enhanced financial performance and profitability."
