Almarai's Jordan buy to cost $105m
Riyadh, December 21, 2008
Almarai, Saudi Arabia's largest dairy company by market value, said on Sunday the cost of its purchase of 75 per cent of Jordanian dairy and beverage manufacturer Taibah would amount to $104.8 million.
The cost includes $10.6 million of the Jordanian firm's debt. Earlier this week, Almarai said it will use its own funds to finance the purchase of the stake in Taibah Investment and Advanced Food Co, a dairy and juice manufacturer and Almarai's first foreign acquisition.
'Almarai's total commitments resulting from the purchase of the 75 per cent stake is 75 percent of 89 million Jordanian dinars ($125.6 million),' Almarai said in a statement posted on the bourse's website.
Almarai would also have to bear 75 per cent of Taibah's debt which it estimated at 10 million Jordanian dinars, it added.
The Saudi firm said earlier this week that Taibah was valued at $126.4 million without the debt.-Reuters