KARACHI – The Engro Corporation Limited (ECL) has announced the acquisition of Al Safa Halal (ASH) at an initial cost of $15 million. To this effect, ECL revealed that it had signed an agreement with the ASH for the acquisition, the materialisation of which, however, would be subject to the requisite approval of regulatory bodies and closing of the agreement with the sellers.
“The company has signed agreement with Al Safa Halal to purchase its halal food business,” the ECL informed its shareholders at the country’s three bourses in Karachi, Islamabad and Lahore as required by the Listing Rules. According to Engro, ASH’s business is based in the US and Canada and it is presently dealing in the supply of a variety of packaged halal foods across the North American region.
“The company would be setting up companies based in the US and Canada to acquire and operate the business,” the ECL said and added that the cost of acquisition of the business, inventories and brand building was expected to initially be in the range of $10-15 million.
