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UAE’s Agthia Working on New Acquisitions in Egypt, Expansion in Saudi Arabia

Agthia Group said it is working on a new acquisition in Egypt, in addition to expanding in Saudi Arabia. (Agthia)
Agthia Group said it is working on a new acquisition in Egypt, in addition to expanding in Saudi Arabia. (Agthia)
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UAE’s Agthia Working on New Acquisitions in Egypt, Expansion in Saudi Arabia

Agthia Group said it is working on a new acquisition in Egypt, in addition to expanding in Saudi Arabia. (Agthia)
Agthia Group said it is working on a new acquisition in Egypt, in addition to expanding in Saudi Arabia. (Agthia)

The UAE Agthia Group said that the total value of the acquisitions it carried out in 2021 exceeded AED2.3 billion ($626 million), adding that it is working on a new acquisition in Egypt, in addition to expanding in Saudi Arabia.

Alan Smith, CEO of the Agthia Group, said the group aims to expand geographically, most notably in Saudi Arabia and other markets, such as Egypt and Pakistan, noting its acquisition of 60% of the Abu Auf Group in Egypt.

He stated that Agthia will invest nearly AED90 million ($24.5 million) in its expansion plans in Saudi Arabia to establish a new industrial facility within the premises of Al Nabil Food Industries in Jeddah.

Smith stressed that the group is expected to start investing in the construction of the new facility in the coming months.

According to the Emirates News Agency (WAM), the investment spending process on the new factory is scheduled to continue until 2025.

The initial investment at this stage is estimated at AED65 million ($17.6 million), Smith said, adding that expanding in Saudi Arabia is considered a strategic investment in the GCC’s largest market.

Agthia could carry out its planned acquisitions in line with its long-term strategy, he remarked, underlining the group’s ability to finance further acquisitions, which will go ahead if they meet its strategic criteria.

On the group's plans for H2 2022, Smith said its focus will remain on integrating the companies’ businesses, bolstering their work, and achieving the maximum and optimal benefit from mergers, some of which may include secondary investment plans aimed at boosting the efficiency of the group’s operations.

He pledged to continue to fulfill the group’s promises towards diversifying its business, and creating opportunities for growth.

Agthia’s net profit attributable to shareholders grew to AED118 million in H1 2022, a 74% increase relative to H1 2021, despite the challenging global inflationary environment.

This performance reflects the impact of the group’s recent acquisitions, as well as its cost optimization efforts as part of its five-year growth strategy.

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FAO Aims for Key Outcomes at COP16 in Saudi Arabia

Preparations in the Saudi capital ahead of hosting the COP16 conference on combating desertification (from the “COP16” page on the X platform)
Preparations in the Saudi capital ahead of hosting the COP16 conference on combating desertification (from the “COP16” page on the X platform)
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FAO Aims for Key Outcomes at COP16 in Saudi Arabia

Preparations in the Saudi capital ahead of hosting the COP16 conference on combating desertification (from the “COP16” page on the X platform)
Preparations in the Saudi capital ahead of hosting the COP16 conference on combating desertification (from the “COP16” page on the X platform)

Dr. Abdul Hakim Elwaer, Assistant Director-General of the Food and Agriculture Organization (FAO), stated that the organization will take an active role at COP16, the UN conference on combating desertification, scheduled to take place in Saudi Arabia in early December.

In remarks to Asharq Al-Awsat, he expressed confidence that the conference—the first of its kind in the Middle East—would produce significant outcomes.

Elwaer’s comments came during a roundtable organized by FAO’s regional office in Cairo, attended by a select group of media representatives. The session focused on FAO’s participation in the upcoming conference and the importance of the Rio Trio —the integrated framework of the three major UN conventions addressing climate change, biodiversity conservation, and desertification.

Fida Haddad, FAO’s Program Officer for Land Rehabilitation and Climate Change, highlighted the interconnectedness of the three conventions and noted that COP16 would place a strong emphasis on land and water rehabilitation and their sustainable management.

Haddad pointed out that approximately 90% of the Middle East is affected by arid conditions. Despite this, local communities and Arab governments have made notable progress in addressing desertification and drought. She also announced that, for the first time, FAO has successfully placed food systems on the COP16 agenda, enabling discussions on how land rehabilitation can enhance food supply chains and systems.

Elwaer underscored FAO’s central role in achieving the second Sustainable Development Goal (SDG): eradicating hunger. He emphasized that FAO actively engages in the UN conventions on climate change, biodiversity, and desertification, which collectively contribute to this mission.

FAO’s focus, according to Elwaer, is on transforming food and agricultural systems to become more inclusive, efficient, and sustainable, aiming for better production, nutrition, and livelihoods. He highlighted the organization’s success in integrating these priorities into the agendas of the three conventions and collaborating with host countries on joint initiatives.

He further noted that Saudi Arabia’s hosting of COP16 is particularly significant for the region, which faces pressing challenges such as water scarcity, desertification, and food insecurity. The conference presents an opportunity for Middle Eastern nations to highlight these issues, explore solutions, and ensure their inclusion in global environmental discussions, not only at this event but in future COP sessions, he underlined.

Elwaer emphasized the growing global attention on desertification, as it is now impacting regions previously unaffected, such as southern Europe and parts of Latin America. These areas are witnessing alarming declines in arable land and forests, prompting them to seek lessons from the Arab world, which has developed resilience strategies to combat desertification over centuries.

FAO will have a strong presence at COP16, with two dedicated pavilions—one in the Blue Zone for official delegations and another in the Green Zone to engage civil society and conference participants, he said.

He added that in collaboration with Saudi Arabia and the UN, FAO will lead coordination on Food Day and Governance Day, scheduled for December 5 and 6, respectively. The organization will also participate in other specialized sessions throughout the conference.