Greece-based dairy group Vivartia will expand its presence in the Middle East and North Africa via a joint venture with Exeed Industries.
Vivartia's parent group, Marfin Investment Group, said today (28 September) the deal covers all of the Greek dairy firm's products, including Delta, Barba Stathis and Chrysi Zymi, as well as foodservice brands such as Goody's and Everest.
The two companies will build a EUR70m production base in Abu Dhabi. Construction is set to start in early 2013. They plan to create a business in the United Arab Emirates with sales in excess of EUR165m per year.
More generally, the firms will combine Vivartia's product know-how with Exeed's local market knowledge to build sales of dairy and beverages across the Middle East and much of North Africa.
"It gives us the opportunity to serve the needs of 330m new consumers," said Vivartia's CEO, Yannis Artinos. Marfin acquired Vivartia in 2007.
Show the press release
Marfin Investment Group (MIG) announces today the signing of the Joint Venture (“JV”) agreement between Vivartia S.A. and Exeed Industries, establishing the presence of the new JV in the United Arab Emirates, Saudi Arabia, Kuwait, Oman, Bahrain, Qatar, Egypt, Libya, Tunisia, Algeria, Morocco, Iraq and Iran.
The vision of this newly founded JV is to offer exceptional quality and nutritional value products that will serve the needs of consumers in the Middle East, North Africa and Gulf Cooperation Council countries.. This exclusive cooperation unites the forces of two leading companies, each in its market, paving the way for the presence of Vivartia products in a dynamic market of over 330 million consumers.
This cooperation embraces all of Vivartia’s products, Delta, Barba Stathis, Chrysi Zymi as well as all the food services brand names (Goody’s, Everest, Flocafe,
La Pasteria).
The first step includes exports from Greece and the construction in parallel of a production
facility in Abu Dhabi. It will produce a differentiated and wide portfolio of strong, recognizable
Dairy and Beverage brands, blending Vivartia’s proprietary technology with Exeed’s local
market knowhow on how to best meet the needs and tastes of local consumers. Its strategic
aim is to become the leading choice for UAE consumers, becoming the local market leader with
sales in excess of €165m. The production facility in the UAE represents an investment of €70m
at a location of 160 acres that has already been identified. Construction is planned to
commence in early 2013 and will be commissioned in the 2nd half of 2014.
Dr. Kamel Abdullah, Chief Executive Officer of Exeed Industries and Mr. Yannis Artinos,
Vivartia’s Chief Executive Officer and MIG’s Deputy Chief Executive Officer, both exclaimed
their satisfaction upon the completion of the agreement.
Mr. Artinos said “I am delighted for the beginning of this strategic partnership with Exeed
Industries, as we share common values and complementary skills. It gives us the opportunity
to serve the needs of 330 million new consumers, and at the same time it is an exceptional
platform for Vivartia, a Greek based company, to further accelerate on its path in becoming a
truly global player in the food sector.”
Dr.Abdullah said “I am certain about the future success of this exciting new venture that is to
benefit the UAE, MENA and GCC consumers, building a new international food company while
building a strong bond between our two companies.”
Exeed Industries is a fully owned subsidiary of National Holding of Abu Dhabi and plays a
pivotal role in directly contributing to the economic development of Abu Dhabi, the UAE and
the region at large. The company operates and is expanding its existing operations in
Agriculture sector, Building Materials & Fibers products, in addition to the international
investments in MENA region & GCC.
Vivartia is one of the leading food companies in Greece and one of the largest in South East
Europe with its brands recognized by millions. It is the market leader in most of the segments
it competes offering high quality and nutritional value products to the consumers it serves with
well known brands such as Delta, Barba Stathis, Goody’s and Everest.
Original source: Marfin Investment Group