Agthia completes acquisition of majority stake in Egypt’s Auf Group

Food and beverage company Agthia Group has completed its acquisition of a 60 per cent stake in Auf Group.

Established in 2010, Auf Group processes manufactures, retails, and distributes a broad portfolio of products across Egypt including coffee, nuts, healthy snacks and other confectionery products sold under the Abu Auf master brand.

The acquisition enhances Agthia’s footprint in the Egyptian snacking market, which is forecast to grow from around Dhs8.7bn ($2.3bn) in 2020 to around Dhs11.2bn($3.05bn) by the end of 2024, according to Euromonitor.

It also strengthens Agthia’s position as a leading regional consumer packaged goods (CPG) company, building on last year’s acquisitions of BMB Group (a leading manufacturer of healthy snacks), Al Foah (the world’s largest dates receiving and processing business), Al Faysal Bakery and Sweets (a leading industrial bakery in Kuwait), Nabil Foods (a Jordan-based leading regional processed meat producer), and Atyab (an Egyptian processed meat producer).

Khalifa Sultan Al Suwaidi, chairman of Agthia Group, said: “The acquisition of Auf Group aligns with our 2025 growth strategy to acquire, integrate and grow attractive businesses in value-add categories. Egypt remains a strategic target for Agthia, as one of the MENA region’s fastest-growing consumer markets.”

Agthia has acquired 60 per cent of Auf Group, with Auf Group’s founders retaining a 30 per cent stake and continuing to actively lead the company with the support of Agthia’s regional footprint and operational expertise. Tanmiya Capital Ventures, an Egyptian private equity firm that invested in Auf Group in 2019, remains a shareholder of the remaining 10 per cent stake.

Ahmed Auf, CEO of Auf Group, said: “This transaction represents a significant milestone in Auf Group’s history, and we look forward to working alongside the Agthia team to build on our success to date. Our focus remains on maintaining our unique position in the Egyptian snacking market while expanding our reach and footprint.”