Egypt's largest dairy producer, Dina Farms, continues to implement expansion plans that will maximize its raw milk production capacity within the coming year
Dina for Agricultural Investments SAE (Dina Farms), a portfolio company of Gozour, Citadel Capital’smulti-category agriculture and consumer foods platform, has taken receipt of 1,000 top-quality pregnant heifers from the United States. The new cows are the first of two shipments totaling 2,000 cows that Dina Farms will import by the third quarter of 2013.
“The significant increase in our herd of milking cows, which is expected to reach approximately 8,000 cows by the end of 2013, is part of a comprehensive dairy expansion plan that also includes the construction of new international-standard milking stations to accommodate the new cows,” said Dr. Mohamed Waeer, the Managing Director of Gozour’s livestock business within Dina Farms.
In September of this year Dina Farms announced that it had secured an EGP 92 million syndicated loan facility that will finance civil work, machinery and the purchase of an additional 2,000 cows that will subsequently increase milk production to 80,000 tons per annum in 2013 from the 60,000 tons per annum that the farm produces today.
With more than 13,000 head of cattle (of which more than 6,000 are currently milking cows), Dina Farms is Egypt’s largest dairy producer and a key supplier of fresh produce both locally and regionally. In addition to its own highly successful, premium brand of fresh milk products the company also provides milk to leading local producers of processed dairy products.
Dina Farms branded milk products come from a PET fresh pasteurized milk plant that was inaugurated in February 2010. The milk plant completed the doubling of its capacity within its first year of operation allowing it to add new SKUs to its existing product range. In January 2011, Dina Farms launched a single-serve pack in addition to its leading family size flagship pack.
Less than two years from its launch, Dina Farms stands as the number-one fresh milk brand in Egypt.
“The fact that our products have gained such wide market appeal in a relatively short period of time is a testament to the quality and productivity of our cattle as well as the high technological standards of our milking facilities,” said Hanee Afia, CEO of Gozour’s Integrated Dairy Business. “We are confident that the increase in our dairy capacity will not only benefit our own manufacturing operation but also the market as a whole which continues to suffer from an undersupply of milk.”
Gozour is an integrated regional agriculture and multi-category consumer foods platform. The group includes three primary lines of business: agriculture, dairy and dry consumer foods. Gozour portfolio companies include Dina Farms, Rashidi El-Mizan, Enjoy, Elmisrieen, El-Aguizy International and Mom’s Foods in Egypt as well as confectioner Al-Musharraf in Sudan.
Citadel Capital (CCAP.CA on the Egyptian Stock Exchange) is the leading private equity firm in the Middle East and Africa. Citadel Capital focuses on building regional platforms in select industries through acquisitions, turnarounds, and greenfields executed via Opportunity-Specific Funds. The firm’s 19 OSFs now control Platform Companies with investments of more than US$ 9.5 billion in 15 countries spanning 15 industries, including mining, cement, transportation, food and energy. Since 2004, Citadel Capital has generated more than US$ 2.2 billion in cash returns to its co-investors and shareholders (on investments of US$ 650 million), more than any other private equity firm in the region. Citadel Capital is the largest private equity firm in Africa by PE assets under management (2007-2012, as ranked by Private Equity International). For more information, please visit www.citadelcapital.com.
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Ms. Ghada Hammouda
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