Tanmiah Food Company has announced its strategic acquisition of a poultry processing facility in Saudi Arabia for SR143 million ($38.1 million). The purchase aligns with the company’s aim to enhance food security within the Kingdom and support the objectives of ‘Vision 2030’.
This investment marks a significant step forward for Tanmiah, as its subsidiary Agricultural Development Company (ADC) finalized the contract with Dajin Poultry Company on December 1st. The facility is set to resume operations under Tanmiah’s ownership by 2025. In a statement regarding the transaction, Tanmiah emphasized its commitment to boosting operational efficiency and satisfying the increasing demands of the market. Tanmiah stated, “The transaction demonstrates Tanmiah’s commitment to supporting the Kingdom’s food security and self-sufficiency objectives under ‘Vision 2030.’”
Under the leadership of CEO Zulfiqar Hamadani, the transaction will be financed through existing banking arrangements. Notably, Tanmiah is dedicated to ethical practices in poultry rearing, offering antibiotic-free, corn-fed chickens raised in a cageless environment, free from hormone additives. Through the ADC, Tanmiah markets its halal poultry products, which include fresh, frozen, and ready-to-cook marinated options, across the Gulf Cooperation Council (GCC) region. Key customers in the food and beverage industry include major retail chains such as Noori, Nesto, Al Raya, Sarawat, and LuLu, as well as the well-known restaurant chain Popeyes.
In 2022, US-based Tyson Foods made a significant investment in Tanmiah, acquiring a 15% stake in ADC and a 60% shareholding in Supreme Foods Processing Company, which produces a variety of meat products for markets in the GCC, Lebanon, and Jordan. Hamadani remarked on the collaboration with Tyson, stating, “Our strategic partnership marks a significant milestone in Tanmiah’s journey and demonstrates our commitment to growth and supporting Saudi Arabia’s food security objectives.”
To further bolster its contributions to food security, Tanmiah recently partnered with Ukraine’s MHP group to establish a hatchery and feed mill in the Kingdom, further advancing its goal of sustainability within the food and drink business. This joint venture, which involved an investment of SR200 million, positions Tanmiah as a key player in addressing food and drink consumer trends and improving regional food supply resilience.
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