PepsiCo acquires stake in Teeba of Jordan
PepsiCo announced today that the dairy and juice joint venture it formed earlier this year with Saudi-based dairy company Almarai has made its first acquisition.
The joint venture, International Dairy and Juice Limited (IDJ), acquired 75% of leading Jordanian dairy producer Teeba Investment for Developed Food Processing Company (Teeba). The Teeba stake had been owned by Almarai, which acquired it in January 2009 and is transferring it to the joint venture at cost.
Teeba is one of the leading players in the fresh dairy sector in Jordan, with its own dairy farm, and a producer and distributor for a wide variety of other dairy and juice products.
“This is an important step forward in our ongoing effort to build a diversified global portfolio of foods and beverages, addressing consumers’ need for nutrition as well as fun and refreshment,” said Michael White, PepsiCo Vice Chairman and PepsiCo International CEO.
IDJ is held 52% by PepsiCo and 48% by Almarai. It was formed to focus on opportunities in Southeast Asia, Africa and the Middle East, excluding the Gulf Cooperation Council countries, where Almarai already has a very strong presence.
IDJ will identify and develop growth opportunities for a range of high-quality dairy and juice products. The venture will draw on the two partners’ complementary brands and capabilities — benefiting from Almarai’s in-depth knowledge of the dairy industry and PepsiCo’s marketing capabilities and experience as a world leader in juice.
About Almarai
Almarai is the largest integrated dairy foods company in the world, with a reputation for outstanding quality. It is committed to healthy living, and to delivering only the freshest and most delicious products to the people it cares most about — its customers.
Almarai Company is based in Riyadh, the capital of the Kingdom of Saudi Arabia. Its network extends throughout the Arabian Peninsula, leading and influencing the agricultural, dairy processing and food distribution industries.
Almarai began in 1976 under the leadership of HH Prince Sultan bin Mohammed bin Saud Al Kabeer, as it remains to this day. His Highness recognized the potential to transform traditional methods of dairy farming to serve the needs of the rapidly expanding Saudi market; and what began with the processing of fresh milk and laban soon expanded into modern dairy farms and state-of-the-art processing facilities.
Tags | asia, middle east, pepsico, soft drinks
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