Egypt: Arla makes offer for majority stake in Domty

Leading European dairy company Arla has made a non-binding offer to acquire a majority stake in dairy company Arabian Food Industries, trading as Domty, for 31.48 EGP ($0.66) per share.

Domty is a publicly listed company that employs 4,000 staff and operates two production facilities, with a range of over 200 items including branded white and processed cheeses and juice. The offer values the company at EGP 8.9 billion ($183 million) for 100% of the shares.

Commenting on the move, Arla Foods SVP for MENA Kim Villadse said: ”The dairy market in Egypt is substantial, Domty is a leading player in that market and the company is well-aligned with our strategy in Egypt. We are now looking at the details before deciding whether to proceed with purchasing the business”.

“Expanding into Egypt is a natural step in our journey to better serve all our MENA consumers, reinforcing our commitment to regional production and ensuring that we continue to deliver high-quality dairy products tailored to regional preferences”, he added.

The offer is subject to satisfactory due diligence, definitive documentation, corporate and regulatory approval.

Source: Arla / Domty