Spinneys has announced an agreement to acquire an additional 20% stake in its Saudi Arabian subsidiary, Spinneys KSA, from Al Hokair Holding Group for SAR 18 million. Upon completion, Spinneys’ ownership will increase from 50% to 70%, strengthening its economic interest in one of its key growth markets.
The company has managed Spinneys KSA since its establishment in 2022 and already fully consolidates the business into its financial statements. The transaction remains subject to regulatory approvals, including approval from the Saudi General Authority for Competition.
Key highlights:
• Acquiring an additional 20% stake in Spinneys KSA
• Purchase consideration of SAR 18 million
• Ownership to increase from 50% to 70%
• Strengthens Spinneys’ economic interest in its Saudi operations
• Transaction subject to regulatory approvals in Saudi Arabia
According to CEO Sunil Kumar, Saudi Arabia remains one of Spinneys’ most important growth markets. The company believes the Kingdom’s premium grocery segment continues to benefit from a young, growing and increasingly affluent population, with the increased ownership allowing Spinneys to invest further and expand its presence.
The transaction aligns with Spinneys’ strategy of expanding in high-growth markets and follows the opening of 9 new stores in the UAE and 2 in Saudi Arabia over the past year.
Source: Spinneys
Disclaimer: This post is for informational purposes only and should not be considered investment or financial advice.
