Saudi Arabia’s Almarai acquires additional 15% stake in Modern Food Industries for $40m

Saudi Arabia’s Almarai acquires additional 15% stake in Modern Food Industries for $40m

Saudi Arabia's Almarai, the biggest dairy company in the Middle East, acquired an additional stake in Riyadh-based snacks-maker Modern Food Industries amid a product diversification push.

Almarai subsidiary Western Bakeries Company purchased the stake owned by Olayan Financing Company for 150 million Saudi riyals ($40m), the company said in a filing on Sunday to the Saudi Stock Exchange, Tadawul, where its shares trade.

The diary company said it used its operating cash flow to fund the acquisition, with the financial impact expected to be reflected in its next quarterly results.