Saudi food manufacturer and retailer Savola Group is set to acquire majority stakes in Egyptian pasta firms Al-Malika and Al-Farasha.

Savola has paid EGP556.5m (US$93.1m) for a 78% stake in the two companies, it said yesterday (18 October).

Al-Malika and Al-Farasha have two factories in Egypt with production capacity of 120,000 tonnes per annum. They have a combined market share of 30% of Egypt's pasta sector.

Savola said the acquisition will add a new category to its business of edible oil and sugar. The company also owns 30% of Middle East dairy processor Almarai.