By ValorInternational

The Middle East is becoming an increasingly strategic market for the global meat industry. This time, Saudi Arabia’s Al Watania, the region’s largest poultry producer, has attracted takeover bids from interested buyers, including Brazilian food giant JBS, according to sources. The information was first reported by Bloomberg, citing individuals familiar with the matter.

Conservative JBS Bid Contrasts with Aggressive Saudi Competitor Proposal

A source told Valor that JBS’s bid was more conservative, while Saudi competitor Almarai submitted a more aggressive proposal. Another source mentioned that JBS had shown interest, but the negotiations did not progress further.

When contacted, JBS declined to comment, while Almarai did not respond to requests for statements.

Multiple Parties Eye Complex Asset with Operational Challenges

Other potential buyers include Saudi firm Tanmiah Food with a consortium led by Ukraine-based agribusiness technology company MHP, according to Bloomberg. However, buyers may still withdraw, or Al Watania could ultimately decide not to proceed with the sale.

If the deal moves forward—regardless of the buyer—it is expected to be a challenging transaction. “Al Watania is a complex asset, with significant inefficiencies,” a source told Valor.

Strategic Partnership Targets Halal Industry Leadership

Last week, Al Watania announced a strategic partnership with the Halal Products Development Company (Halal Devco), aiming to accelerate the adoption of sustainable with innovative practices in the halal food industry—where production follows Islamic slaughtering guidelines.

These improvements are part of an effort to make the company more competitive while expanding its poultry exports to new markets, catering to the growing demand for halal-certified products.

According to Al Watania’s official statement last week, the goal of this partnership is to position Saudi Arabia as a leading global hub for halal products.

Daily Operations Process Over 1 Million Chickens, 1.5 Million Eggs

“By prioritizing innovation with market needs, we remain committed to delivering high-quality halal products that support national food security goals while enhancing Saudi Arabia’s local, global competitiveness,” said Mohammed bin Hamad Al Shaya, Al Watania’s acting CEO, in the statement.

Founded in 1977, Al Watania processes over 1 million chickens with 1.5 million eggs per day.

Brazilian Giants Leverage Financial Strength for Global Expansion

A potential bid for Al Watania would represent another step in JBS’s strategy to expand its global footprint, despite the company already having a presence in the Middle East.

“The Brazilian market has become too big on its own,” said a meat industry source, explaining that Brazilian companies have the financial resources to compete for strategic assets worldwide.

Vision 2030 Program Drives Food Security, Export Ambitions

The Saudi government’s Vision 2030 program is another key factor driving interest in the country’s meat industry. The initiative aims to achieve self-sufficiency in food production while positioning Saudi Arabia as a major player in global food exports.

Original Article:

Argaam. (2025). Saudi poultry giant Al Watania draws acquisition bids, including from JBS. Argaam. Retrieved from https://www.argaam.com/en/article/articledetail/id/1796401