Food Investments

Our food vertical includes investments in large branded categories across the MENA region. Savola Foods is a leader in basic branded consumer packaged goods, which it offers in more than 30 countries. We are proud to say that many of our products are market leaders in their respective categories. We continue to build on our range of established products by expanding into higher-value items and diversifying our portfolio. We also generate profits through our long-term strategic investments. We are the largest shareholder in the Middle East’s leading food manufacturer and distributor, Almarai, with a 34.52% stake in the business, and in 2018 acquired a majority stake in Al Kabeer Group of Companies, one of the region’s leaders in frozen foods manufacturing and distribution

Savola Foods

Alongside Savola Retail, Savola Foods is one of our two flagship companies whose role is to manage our investments in our core business sectors

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FINANCIAL & OVERALL PERFORMANCE

As of 2015, Savola Foods owns operations in seven countries (Saudi Arabia, Egypt, Iran, Turkey, Algeria, Morocco and Sudan), and manages a broad portfolio of B2C food brands. These are mainly household staples such as edible oil, sugar, pasta and ghee, and many of these brands are market leaders in multiple countries. Three decades of investment mean that output is higher today than ever before. Customer loyalty and market leadership saw Savola Foods achieve total sales volume including the exports 1.6 million tons of edible oil, 2.2 million tons of sugar and 279,336 tons of pasta in 2019.

We are proud of what we have achieved so far, but we are also working hard to safeguard our future growth levels. That is why we have devised a detailed roadmap to guide Savola Foods towards higher-value product categories and markets with untapped potential.

FROM SAVOLA TO THE SUPERMARKET SHELF

Since 1979, Savola’s diverse brands have earned their spot on supermarket shelves in 50 countries and many are now market leaders in their category. Through our company Savola Foods, we offer a wide range of products including household staples such as edible oil, sugar, pasta and ghee. And we must be doing something right: the total sales volume for Savola Foods brands was in excess of 4 million tons in 2019.

What does the future look like for Savola Foods? It may be in a strong position right now, but we also have a clear vision for how to ensure future expansion and growth. In the coming years, Savola plans to give more and more autonomy to both entities, Savola Foods and Savola Retail, so that they can invest in improving their product portfolios. Savola Foods will move into higher-value products and product categories. For example, in 2015 it launched a range of children’s pasta under the Italiano brand and it also entered the seafood and baked goods market. In 2015, we agreed to a $50 million partnership with Thai Union which will enable Savola Foods to bring the John West seafood brand to 12 countries.

Change is a vital part of securing growth. But there are some things that never change for Savola. While our brands may each have a unique personality and history, we take pride in making sure that they operate in accordance with our ethical principles.

ALL OF OUR SAVOLA FOOD BRANDS

SAVOLA FINANCIAL INVESTMENT IN FOOD

Savola brands may have a high profile in the region, but our investors know that this is only one part of the picture. We also use the expertise we have built up over the past four decades to invest in food-sector companies strategically. And this is why: stakes in growing companies give us greater insights into the industry and safeguard our profits by diversifying risk.

Accordingly, Savola Group own a 34.52% stake in Almarai – the world’s largest vertically integrated dairy business. This listed joint stock company offers a range of products in the fresh laban, cheese, juice, baked goods, and poultry categories, and each of these business sectors is currently enjoying rapid growth.

Also, Savola Group acquired a 51% stake in Al Kabeer Group ("Al Kabir"), one of the largest frozen food manufacturers in the region and its distributors in the last quarter of 2018

FINANCIAL INVESTMENTS SAVOLA FOODS

Savola brands may have a high profile in the region, but our investors know that this is only one part of the picture. We also use the expertise we have built up over the past four decades to invest in food-sector companies strategically. And this is why: stakes in growing companies give us greater insights into the industry and safeguard our profits by diversifying risk.

To take just one example, we own a 34.52% stake in Almarai – the world’s largest vertically integrated dairy business. This listed joint stock company offers a range of products in the fresh laban, cheese, juice, baked goods, and poultry categories, and each of these business sectors is currently enjoying rapid growth.

Also, Savola Group acquired a 51% stake in Al Kabeer Group ("Al Kabir"), one of the largest frozen food manufacturers in the region and its distributors in the last quarter of 2018.

Savola proud to be the largest shareholder in the almarai, and Al Kabir is one of the leading company in the frozen food market.

Al marai IN FOCUS

Founded in 1977, Almarai has grown to become the world’s largest vertically integrated dairy company. It is a leading food group with presence in the dairy, juices, bakery, poultry and infant nutrition categories. Headquartered in Riyadh, Almarai’s production and distribution footprint covers the GCC, Egypt and Jordan. Reaching 42 million consumers, Almarai is the strongest brand in Saudi Arabia and one of the most recognized names in the Middle East.

In 2018, the YouGov Brand Index once again ranked Almarai first – ahead of Apple, WhatsApp, YouTube, Google, Samsung and Emirates Airline – among the most positively perceived brands in Saudi Arabia. Savola Group is the largest shareholder in Almarai Company, the Middle East’s leading food manufacturer and distributor, with a 34.52% stake in the company.

Al kabeer IN FOCUS

About Al Kabeer Group of Companies Founded in 1974, Al Kabeer has experienced solid growth in the frozen food industry to become one of the leading players in the GCC. Al Kabeer has three manufacturing facilities in both the United Arab Emirates and the Kingdom of Saudi Arabia, with a total capacity of over 40,000 MT per year.

In addition, Al Kabeer boasts a strong and well established in-house distribution network, servicing more than 11,000 outlets with a fleet of over 300 vehicles and nine cold stores in the region, generating sales of about SAR 620 million in 2019. Al Kabeer, throughout three different brands, is active across a wide range of frozen foods products. The company manufactures, processes and distributes over 200 products loved by consumers across the region, including frozen processed poultry, beef, seafood, dough-based products, fruits and vegetables. It also produces popular snacks and ready-to-eat meals.

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