Saturday 23 October 2021

Alan Smith

Agthia completes acquisition of top processed meat producer

ABU DHABI, September 15, 2021

Abu Dhabi-based Agthia Group, a leading food and beverages company, has completed the strategic acquisition of a majority stake in Ismailia Investments (Atyab), a top Egyptian producer of frozen processed chicken and beef products.

Through a portfolio of four brands, Atyab caters to the value, economy and premium segments of the Egyptian market. It has a processing capacity of around 70,000 tons per year through its facilities and production lines, including a 60,000-sq-m manufacturing facility.

Building on its recent complementary acquisition of Nabil Foods in Jordan, Agthia will leverage Atyab to strengthen its position at the forefront of the Mena region’s growing processed protein sector. The acquisition will enable Agthia to quickly benefit from new revenue streams, cost and revenue synergy opportunities, wider regional and channel expertise, expanded product offerings, and enhanced financial performance and profitability.

Alan Smith, Chief Executive Officer of Agthia Group, said: “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,” he added.

Attito Raslan, Chairman and Chief Executive Officer of Atyab, said: “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.”

Agthia has acquired a majority stake of 75.02% in Ismailia Investments. Atyab’s founder and leader, industry veteran Attito Raslan, will retain a stake in the company and build on his successful track record of growing the business with the backing of Agthia’s financial strength, wide regional reach and industry expertise.

Atyab achieved strong revenue growth with around 28% CAGR between 2016 and 2020 and healthy EBITDA margins of around 19% as of 2020. Last year, the company achieved net revenues of AED424 million with EBITDA of AED79 million. It has more than 2,500 employees and 11 distribution centres spread across Egypt. – TradeArabia News Service


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