Almarai expands beverage portfolio with acquisition of Pure Beverages Industry for US$277M
The deal strengthens Almarai’s footprint in Saudi Arabia’s bottled water market, pending regulatory approvals.
SAUDI ARABIA – Saudi Arabia’s leading dairy and juice producer, Almarai, has announced its entry into the bottled drinking water market through the acquisition of Pure Beverages Industry Co. in a deal valued at SAR1.04 billion (US$277 million).
The transaction, aimed at expanding Almarai’s beverage portfolio, will be financed using internal cash resources.
In a statement, Almarai confirmed that the transaction is not linked to any related parties and is subject to regulatory approvals. The company pledged to disclose any material developments as they arise.
Pure Beverages Industry Co. is a key player in Saudi Arabia’s bottled water segment, producing popular brands such as “Ival” and “Oska.”
The company is known for its modern facilities and adherence to high standards in production, with an emphasis on quality and sustainability.
Almarai described the acquisition as a strategic move aligned with its long-term vision to diversify its beverage offerings and strengthen its market presence.
“This strategic acquisition is in line with Almarai’s plan to diversify its beverage offerings and enhance its market position,” the company noted.
Established in 1977, Almarai is one of the Middle East’s largest food manufacturing and distribution companies. It offers a wide range of products including fresh dairy, cheese, yogurt, juices, bakery items, poultry, and infant nutrition.
Listed on the Saudi Stock Exchange (Tadawul) since 2005, Almarai remains one of the exchange’s top-valued firms.
According to the General Authority for Statistics, bottled water was the most used source of drinking water among Saudi households in 2023, accounting for 57.24 percent. This reliance underscores the importance of bottled water in the Kingdom’s daily life.
The Saudi Water Authority continues to oversee the regulation and quality of water resources in the country, ensuring sustainability and safety across all supply methods.
Earlier this year, Almarai disclosed that a planned acquisition of Hammoudeh Food Industries for SAR263 million (US$70.1M) was cancelled after the seller failed to meet key transaction conditions.
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