BinDawood Holding to acquire 51% of Wonder Bakery for AED 96.9M

BinDawood Holding Co. signed a share purchase agreement on Dec. 23 to acquire a 51% stake in UAE-based Wonder Bakery LLC for AED 96.9 million, according to a statement to Tadawul.

The acquisition value will be subject to certain adjustments in accordance with the terms of the agreement, which requires regulatory approvals.

The transaction will be funded through the company’s internal resources and available financing facilities, the statement added.

Incepted in 2014, Wonder Bakery is an industrial bakery based in Dubai. It manufactures and supplies a range of fresh and frozen bakery products to serve hotels, restaurants, cafés, supermarkets, airlines, and many other F&B businesses.

Wonder Bakery operates a modern, advanced facility in Dubai Industrial City spanning 62,000 square feet, housing a factory capable of producing up to 50,000 tons annually of fresh and frozen baked goods, in addition to hot and cold kitchen products.

The company supplies its products to markets across the GCC, including Qatar, Bahrain and Kuwait, with plans for international expansion, reinforcing its position as one of the leading manufacturers of fresh and frozen baked goods.

Wonder Bakery’s acquisition represents a strategic step that supports BinDawood Holding’s expansions by extending its operations from Saudi Arabia into the other GCC markets. The acquisition enhances the group’s presence in the fast-growing bakery manufacturing sector and strengthens its capabilities in improving supply chain efficiency.

It also provides the company with direct access to an advanced production facility operating in line with the highest global food safety and health standards and certifications.

The investment boosts the long-term growth by enhancing quality control in production, ensuring supply continuity across retail and distribution segments, and accelerating product development and innovation. It also paves the way for greater cross-market collaboration and future expansion into additional regional markets, while contributing to potential cost reductions.

The transaction aligns with BinDawood Holding’s strategy to build a strong, integrated food ecosystem and underscores its commitment to delivering safe, reliable products compliant with Shariah principles.

The acquisition also aims to establish and operate a manufacturing facility within Saudi Arabia, enabling the transfer of technical and operational expertise to the local market and contributing to the development of national capabilities in the food manufacturing sector.

The move will further enhance the Kingdom’s food security and reduce reliance on imported food and bakery products by localizing production and food manufacturing supply chains and developing domestic capabilities.

This comes in line with Saudi Vision 2030 objectives to support local content, develop the industrial sector, and ensure sustainable food supply chains. This will strengthen economic resilience along with the ability to meet market demand efficiently and at high quality.

The deal will likely have a positive long-term impact on the company and the transaction is subject to the relevant regulatory approvals.

Any material developments will be disclosed in due course, the statement added.