Brazilian poultry exporter BRF has entered into an agreement to acquire the remaining stake in Oman-based frozen food distributor Al Khan Foodstuff (AKF).
Currently, BRF owns 40% stake in AKF and the total acquisition is is estimated to have a valuation of $64m.
The move is part of BRF's processed foods business expansion plans in the Middle East and Asia. Through this acquisition, BRF intends to gain local market access in order to strengthen its brands and distribution networks.
AKF is a distributor of frozen food products in Oman, catering to retail, food service and wholesale clients. AKF has been distributing Sadia brand products in Oman for the past 25 years. It also distributes a range of frozen products of other brands and suppliers.
In recent months, BRF made few acquisitions in Thailand and Qatar. In December 2015, the company earmarked around $496m to acquire firms in Argentina, Thailand and Britain. The poultry exporter entered into a binding offer to acquire Dutch company Eclipse Holding Cooperatief for $85m.
BRF's global subsidiary BRF GmbH also entered into agreement to acquire Golden Foods Siam, a Thailand-based poultry producer, from Navis Capital Partners, a Malaysian private investment firm, for $360m, reported Fox News Latino.
BRF markets its products under the brands Sadia, Perdigão and Qualy. It is considered to be one of the world's largest food companies with over 105,000 employees, 35 industrial units in Brazil, 13 plants abroad - six in Argentina, one in the UK, one in the Netherlands, two in Thailand and one in the UAE and 40 distribution centers. BRF exports products to over 120 countries.