Logo

Kellogg acquires Egypt’s largest cereal producer

Kellogg Company (Kellogg) has acquired Egypt’s largest cereal producing company, Mass Food Group, for about US$50mn

Cornflakes EME pixabayAcquiring the Egyptian cereal company is part of Kellogg’s growth strategy for emerging markets. (Image source: EME/pixabay)

The acquisition is a part of Kellogg’s growth strategy for emerging markets. Calling Mass Food Group an excellent strategic fit for Kellogg, Chris Hood, president of Kellogg Europe, said, “The combination of Mass Food Group’s manufacturing capabilities, established local brands, and sales and distribution infrastructure, coupled with Kellogg’s product innovation, international sales knowledge, iconic brands and marketing expertise, will help unlock the growth potential of the cereal category in the key markets of Egypt and North Africa.”

Other than the payment of US$50mn, the American food giant will also repay the debts that are on the books of Mass Food Group. The Egyptian company’s chairman, Alaa al-Bahey said that the future management of the company, which was a family business till now, will involve the Bahey family.

Speaking about how the company will benefit from its association with Kellogg, Tamer El Bahay, V-P of Mass Food Group, said, “With their know-how and expertise, we can emerge stronger together with a combined portfolio of brands to excite our consumers.”

Mass Food Group began as a family business in 1996 and has grown into an US$18mn business, in terms of sales. The company has more than 600 employees and exports its products to more than 30 markets in Europe, East Asia and Africa.

Earlier this year, Kellogg had acquired another Egyptian company, Bisco Misr, which manufactures packaged biscuits. Kellogg had recently entered a joint venture with Tolaram Africa to develop snacks and breakfast foods for the West African market, as well as noodles across Africa.

“Today’s announcement builds upon significant progress against our emerging market growth strategy announced earlier this year,” said John Bryant, CEO of Kellogg Company.


LATEST NEWS IN Processing & Storage

Cagemax: 25 years of quality in animal proteins and fats

Cagemax: 25 years of quality in animal p…

2022 marks the 25th anniversary of the Dutch company Cagemax, a supplier of high-quality animal proteins and fats

Reviewing Kenya’s first agri-hub

Reviewing Kenya’s first agri-hub

President Uhuru Kenyatta on Thursday made an inspection visit to Eni Kenya, the country’s first agri-hub that produces vegetable oil and related bio-products

Nigeria targets agro-processing as a future growth driver

Nigeria targets agro-processing as a fut…

As Nigeria looks to restructure its economy to be more diversified and sustainable,  agro-processing is emerging as a key tool to improve agricultural value added while also bolstering the sector’s...

President Kenyatta urges KTDA to facilitate increased value addition to Kenyan Tea

President Kenyatta urges KTDA to facilit…

Kenya’s President Uhuru Kenyatta has challenged the Kenya Tea Development Agency Holdings (KTDA) to initiate an elaborate plan that will ensure value addition to 90% of the tea grown in...

Avocado oil refining: Westfalia launches three projects to boost sustainability

Avocado oil refining: Westfalia launches…

The Westfalia Fruit Group has unveiled three innovative environmental and social projects at its fruit processing plant in South Africa’s KwaZulu Natal province, enhancing sustainability and helping local communities in...

Farmers and agribusinesses in Uganda to receive more than US$5mn to become climate resilient

Farmers and agribusinesses in Uganda to …

The Government of the Republic of Korea, through its development agency Korea International Cooperation Agency (KOICA), and the International Trade Centre (ITC) will provide funding to support ITC in boosting...

Prev Next

OTHER RELATED ARTICLES - Processing & Storage

Kenya to benefit from US$116.1 million cane plant

Kenya to benefit from US$116.1 million c…

Indian Investors Bajarambapu Group and Narok County have entered into an agreement for the construction of a US$116.1mn sugar factory in the Trans Mara District, Kenya

Symaga continues investing to achieve quality production

Symaga continues investing to achieve qu…

Symaga, specialised in the design, manufacture and marketing of galvanised steel silos for the storage of grain, has announced to maintain a continuous business plan to equip the company’s modern...

eHempHouse to help reduce CO2 levels

eHempHouse to help reduce CO2 levels

Startup business, eHempHouse has announced that it has filed two patents relating to Smartbox, a hemp processing machine that can be used off-grid, and will supply power

NAADS, WFP to build grain stores in Uganda

NAADS, WFP to build grain stores in Ugan…

National Agricultural Advisory Services (NAADS) and United Nations World Food Programme (WFP) have signed an MoU to construct community grain stores in 10 districts of Uganda

Foundation stone laid for mega rice processing plant in Jigawa

Foundation stone laid for mega rice proc…

President of Dangote Group, Aliko Dangote has laid a foundation stone for the construction of a mega rice processing mill in Hadin, Jigawa state

German bank to fund Kenyan juice firm’s expansion

German bank to fund Kenyan juice firm’s …

A Kenyan fruit juice producer has been awarded a long-term loan of US$7.5 million by a leading German development finance institution

Ethiopia opens second avocado processing facility

Ethiopia opens second avocado processing…

YBM, a private avocado oil processing company, has become operational within the state-owned Yirgalem Agro-processing Park in Southern region of Ethiopia

Sackett-Waconia and Bagtech International to join forces on the African continent

Sackett-Waconia and Bagtech Internationa…

Sackett-Waconia, USA and Bagtech International, South Africa have reached an agreement to be partners on the African Continent to offer a wide range of products and services for fertiliser industry...

Driving innovations in grain storage with Bentall Rowlands Storage Systems

Driving innovations in grain storage wit…

Bentall Rowlands Storage Systems is one of the world‘s leading CE Certified, UK manufacturers in grain storage systems

WWF and Tesco report indicates more than two billion tonnes of food goes to waste globally

WWF and Tesco report indicates more than…

WWF and Tesco have published Driven to Waste, a new report that quantifies the total amount of food lost on farms globally, revealing that an estimated 2.5 billion tonnes of...

Fanisi Capital invests US$6mn in Tanzanian agribusiness

Fanisi Capital invests US$6mn in Tanzani…

Private equity firm Fanisi Capital has announced that it had bought a minority stake in a Tanzanian agro-processing company for US$6mn, expanding its footprint in the region

President Kenyatta urges KTDA to facilitate increased value addition to Kenyan Tea

President Kenyatta urges KTDA to facilit…

Kenya’s President Uhuru Kenyatta has challenged the Kenya Tea Development Agency Holdings (KTDA) to initiate an elaborate plan that will ensure value addition to 90% of the tea grown in...

Prev Next

Template Design © Joomla Templates | GavickPro. All rights reserved.