Saudi food group Savola said it agreed to combine its Azizia Panda chain of supermarkets with Saudi Arabia's Giant Stores.

'We have signed an MOU to merge Azizia Panda with Giant Stores,' Savola Chief Executive Officer Sami Baroum said in Jeddah on Sunday, on the sidelines of an investment conference.

Combined, the two units will have sales of about 5 billion riyals ($1.33 billion) per year, Baroum said. He could not immediately be more specific.-Reuters