EGYPT – Edita Food Industries (EFI), a leading Egyptian snack food producer, has entered the frozen bakery segment by the acquisition of Fancy Foods S.A.E., a local manufacturer specializing in the production of frozen foods for US$12 million.
Ecofin Agency reports that the company made the announcement through a press release published on May 30, on the company’s website.
According to the compnay, this new investment should notably enable Edita Foods to expand its business portfolio in the frozen food segment and consolidate its presence in the local food industry.
In addition, Edita aims to expand its offering to fresh and ready-to-bake pastry products.
“The deal equips the Company with the necessary frozen technology infrastructure, marking a significant step in applying our R&D to complementary ventures while capitalizing on our market-leading portfolio of proprietary brands,” said Hani Berzi, Edita Chairman, said
The company revealed that the investment includes the acquisition of 100% of the assets of Fancy Foods, namely two complete production lines and other machinery, as well as land, real estate, and a distribution branch.
As part of the agreement, Edita said that it has acquired the technical know-how and recipes for a range of frozen bakery products
In addition, the deal includes the purchase of the entire shares of Fancy Foods and the settlement of its debts to banks and shareholders
Edita Foods was founded in 1996 and is the leader in the Egyptian packaged snack market with a portfolio of brands that includes Molto, TODO, MiMix, Bake Rolls, Bake Sticks, and Hostess Cakes
In March, the company announced that it has more than doubled its net profit for the fiscal year 2022 which ended on December 31 last, to hit 959.4 million pounds (US$31.3 million).
According to the company, the bakery segment continues to be one of its core offerings and a primary contributor to revenue.
The bakery industry is one of the main segments of the agri-food sector in Egypt. With the high consumption of cereal-based products, the activity offers many economic opportunities for companies, including Edita.