KFL in an announcement to Bombay Stock Exchange (BSE) said that it will sell 20 per cent stake to Al Dahra. The company is expected to raise between Rs 160-180 crore through stake sale. It was, however, not immediately known the end use of sale proceeds. Repeated efforts to reach Gurnam Arora, joint managing director of KFL, did not elicit a response.
After acquisition of KFL’s 20 per cent stake, Al Dahra will have options to buy another 4.99 per cent stake in the company. KFL shares rose 4.1 per cent to Rs 38.5 on Friday.
More From This Section
Al Dahra specialises in agriculture and animal feed production. With global operations, farms and production facilities in the Americas, Europe, Asia and Africa, it is considered a premier supplier of high quality forage, fresh produce, dairy products and commodities to local and regional markets.
Whilst the United Arab Emirates remains at the core of its strategy, the company is well positioned to becoming one of the key international players in the agriculture sector and a leader in the food supply chain business.
Post acquisition of KFL’s 20 per cent stake, Al Dahra will have options to buy the remaining 4.99 per cent stake in RRR from KFL.
Due to the huge on-going infrastructural development and opening up of the food service sector, there is enormous scope for frozen food products.
KFL shares rose 4.1 per cent to Rs 38.5 on Friday.