Agthia Group, a food and beverage company, announced its acquisition of 60% of Egypt’s Auf Group valued at 2.92 billion EGP.
Abu Auf was established in 2010 and it processes, manufactures, retails and distributes a broad portfolio of products across Egypt including coffee, nuts, healthy snacks and other confectionery products.
The transaction provides Agthia with a footprint in the Egyptian snacking market and facilitates the establishment of Agthia as a major player in the Egyptian consumer packaged goods industry. The company last year also acquired Atyab, an Egyptian processed meat producer.
“Auf Group has grown substantially in Egypt since its foundation in 2010, with consistent investment in corporate infrastructure and human capital enabling us to build a distinguished brand and remain at the forefront of the local healthy snacks market. Following our partnership with an institutional investor in 2019 to further accelerate growth and institutionalize the company, we believe we are now ready for the next step in our journey. We would like to thank our employees, customers and suppliers for their continued support and are very excited by the prospect of partnering with Agthia to expand our reach, realize our potential and grow our footprint in the UAE and beyond,” Ahmed Auf, Chief Executive Officer of Auf Group, said.
The transaction will see Agthia acquire 60% of Auf Group, while Auf Group’s founders will retain a combined stake of 30% in the business and continue to lead the company with the full backing of Agthia’s regional footprint and operational support. Tanmiya Capital Ventures, an Egyptian private equity firm which invested in Auf Group in 2019, also remains a committed shareholder with a 10% stake.
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