The National Dairy Plant and Al-Reef Dairy, two of the largest dairy companies in Eastern Province, concluded their merger deal this week, which will be the most significant corporate consolidation deal in the industry, Saudi Gazette reported.
The Saudi Gazette said that the merger agreement was signed by Sheikh Abdullah S. Al-Matrood, Chairman of the Al-Matrood Group of Companies - the mother company of The National Dairy Plant, and Sheikh Hussain Al-Ali, Chairman of Al-Reef Dairy.
The new company will have an initial capital of over SR120 million, which will be shared equally by the two companies. The name of the new company has not yet been disclosed, pending its official registration.
The new company will generate a total daily production of 120,000 litres of dairy products and 150,000 litres of milk and fresh juices.
Source: SPA
