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Saudi Almarai’s board of directors has approved the company’s strategic five-year plan for 2020-2024, targeting capital investment of SAR 7.1 billion.
“The capital investment level during the period is planned to reach SAR 7.1 billion, in line with the long-term investment cycle of the company calling for less expansionary investments and a focus towards more efficiency and sustainability,” the dairy producer said in a statement to Tadawul on Thursday.
“The components of the investments will be replacement of existing assets; adoption of green and cleaner energy footprint, improvement of production capacities and capabilities in farms and manufacturing facilities; distribution and transportation facilities; extension of geographical footprint and the enhancement of innovation and product development capabilities,” it added.
This investment program will be financed from the company’s operating cash flows.
Almarai will continue over the next five years to focus on efficiency and cost optimization measures so as to ensure continuous competitive advantage in light of the persistent challenging economic conditions across the region.
In addition, Almarai confirmed ongoing investments in its infrastructure, in terms of operations, staff and systems, to help the company face future challenges and meet its long-term ambition.
Almarai’s business units will drive growth and innovation across the traditional trade, modern trade and foodservice channels, the statement added.
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