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Dubai group pays $2.4 billion for control of Kuwait food firm

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KUWAIT CITY: A Dubai-based investor group led by Emaar Properties chairman Mohamed al-Abbar has agreed to purchase a majority stake in Kuwait’s top food company Americana, the firm said Sunday.

A binding agreement for the acquisition, estimated at $2.3 billion, was reached between Abbar’s Adeptio group and Al-Khair National for Stocks and Real Estate, a statement on Kuwait’s stock exchange said.

The new development comes three weeks after the two sides announced that takeover negotiations had collapsed.

Al-Khair said in its statement that negotiations were reopened and the binding deal was signed on Saturday to buy the stake for 2.65 Kuwiati dinars ($8.8) per share.

Based on the latest official figures, Al-Khair holds a 66.8 percent stake in Americana’s 391 million stocks worth around $2.3 billion.

Under Kuwaiti law, Adeptio must make a similar offer to the holders of the remaining 33 percent of the company.

Established in 1964, Americana, or Kuwait Food Company, is the parent group that brought to the Middle East more than a dozen major food brands.

It owns more than 1,690 outlets and employs 63,000 workers in the Middle East and North Africa region. It also has 17 factories in the region and abroad and produces a variety of food products.

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