NBK Capital has completed the sale of Turkish edible oils company Yudum Foods to Afia International Company, a subsidiary of Savola of Saudi Arabia, for $70.7 million.

“The sale of Yudum is the first exit for the fund and I am confident that this sets a great precedent for our future deals in the region,” said Amjad Ahmad, chief executive of investment and merchant banking at NBK Capital.
Samir Assaad, managing director of NBK Capital Equity Partners Fund, said: “I am delighted that in such a relatively short time we have been able to make considerable progress with Yudum and substantially increase revenue and profits making the company a very attractive proposition for a buyer.”
He said this was the right time for Yudum to enter the next phase of its growth by becoming part of a global player in the sector, which has been achieved by a perfect strategic and geographic fit through the sale to Afia International, the highest volume producer of branded edible oils in the world.
“NBK Capital is confident that the success of this deal will lay the foundations for future deals and help to reinforce the company’s growing strength in merchant banking in the region where it operates from offices in Kuwait, Dubai and Istanbul,” he added.
The Savola Group is looking for acquisitions among Egyptian edible oil firms to take advantage of the country’s large population, its vice president was quoted as saying.
Savola, which agreed to pay SR51.7 million ($13.8 million) to raise its stake in an Egyptian plastics manufacturer, will also open a sugar plant with an annual capacity of 750,000 tonnes in Egypt soon, said Ayman Hashem.
The company has investments worth about SR700 million in Egypt. Hashem did not say which firms Savola may buy.
Savola has earmarked SR18 billion for expansion in North Africa and Central Asia, its chief executive Sami Baroum said in June.