Saudi Arabia’s Almarai board approves US$4.2 billion plan

Saudi Arabian poultry and dairy producer, Almarai, plans to invest 15.7 billion riyal (US$4.2 billion) over five years in its farming, manufacturing, distribution and logistics operations, Reuters reports.

The poultry and dairy producer has been expanding outside of the Gulf area, most recently in Argentina with the acquisition of the feed-producing Fondamonte SA farms.

Almarai’s acquisitions so far afield outside the Gulf region are largely motivated with achieving food security, which follows a general trend shown by other countries in the area.

Alamarai’s reported a Q1 net profit in 2012 of 242.1 million riyals (US$64.58 million/€51.42 million).