Dubai-based private equity investor, Fajr Capital, has completed the acquisition of Cravia Group, the fastest growing food and beverage platform in the Middle East for an undisclosed sum.

Founded in 2001, Cravia operates a portfolio of the most successful food and beverages businesses across the Middle East region including Zaatar w Zeit, Cinnabon, Seattle’s Best Coffee, and Carvel Ice Cream, and also began operating Five Guys Burgers and Fries in Saudi Arabia, Bahrain, and Qatar.

The investment from Fajr will fund the continued growth of Cravia as it strengthens its leading position in the food and beverage sector in the region while leveraging Fajr’s international network to boost the company’s presence in both existing and new markets, including Bahrain and Qatar.

“Cravia is one of the most successful and exciting F&B platforms in the Middle East,” notes Iqbal Khan, CEO of Fjar Capital in a company statement.  “We are delighted to announce our investment in Cravia at such an important stage in the company’s growth trajectory, and look forward to expanding the business in our constituent markets. We are confident that Walid and Louay, in partnership with the world-class management team already in place, will drive the company’s continued growth, while maintaining Cravia’s guiding principles of loyalty, integrity, dynamism and excellence.”

It has been decided that Cravia founder, Walid Hajj will serve as Executive Chairman for the business, while the existing leadership team led by chief executive, Louay Ghandour will remain in place.

“I am very proud of the great progress Cravia has made over the last fifteen years and am excited about the opportunities that lie ahead,” said Walid Hajj. “Fajr Capital’s proven track-record and global network will be extremely valuable as Cravia enters a new stage of expansion and growth.”

Rising per capita incomes, population growth, and a large, young population have marked the Middle East as a promising market for foods and beverages. U.S. exports of agricultural products to the Gulf Cooperation Council (GCC) countries, including Bahrain, Kuwait, Oman, Qatar and the United Arab Emirates, and Saudi Arabia, climbed 8% to exceed a value US$3 billion in 2014, according to Food Export.org.  The top processed food exports from the U.S. to the region in 2014 included vegetable oils, ingredients and beverage bases, cheese, table condiments, baked snack foods, butter, chocolate, ice cream, and baking mixes and doughs.

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GAI News staff