Danone unit and Saudi dairy producer planning merger talks

Riyadh

NATIONAL Agricultural Development Co, the Saudi dairy producer part owned by the kingdom's sovereign wealth fund, plans to start talks with Danone SA's venture in the country for a potential combination.

Shareholders of the privately-held Al Safi Danone will own 38.75 per cent of National Agricultural Development Co at the completion of the proposed transaction, according to a statement to the Saudi stock exchange.