Riyadh-Mubasher: Saudi Arabia's leading dairy producer Almarai has purchased 1,790 acres of farm land in California through its fully-owned subsidiary Fondomonte California for $31.8 million (SAR 119.3 million), the company said in a bourse statement on Sunday.
The deal is part of Almarai's continuous efforts to improve and secure its supply of high- quality fodder to support its dairy business.
Almarai is committed to investing in the necessary infrastructure, including a bailing system as well as logistics and transportation equipment necessary for the efficient supply of alfalfa hay from its US- based facility into the kingdom, according to the statement.
The deal will be financed from the company's own resources.
The relevant financial impact will be reflected on the company's interim consolidated financial statements for the first quarter of 2016.
