MBRF announced on Monday that its subsidiary BRF GmbH signed an investment agreement with the Halal Products Development Company (HPDC), controlled by the Saudi sovereign fund Public Investment Fund (PIF). The agreement expands the existing joint venture in the Middle East and North Africa (MENA) region and will lead to the creation of the new Sadia Halal structure once the deal is completed.
The transferred assets have an enterprise value of US$ 2.07 billion and generated US$ 2.1 billion in revenue in the 12 months to June, representing 7.3% of MBRF’s consolidated income.
The estimated EBITDA is US$ 230 million, implying a multiple close to nine times. The transaction includes BRF’s distribution businesses in the Gulf —Saudi Arabia, Qatar, the United Arab Emirates, Kuwait and Oman— and its plants in Saudi Arabia and the Emirates but excludes assets in Turkey and Brazil.
HPDC will initially hold 10% of BRF Arabia, with the option to increase its stake to 40%, combining primary and secondary capital contributions. In addition, Marfrig and BRF will sign a 10-year supply agreement under a cost plus 5% model, ensuring demand predictability and maintaining the link with the Brazilian production base.
The agreement strengthens the companies’ regional presence in the halal market, backed by the PIF, and represents a strategic step toward a potential IPO of BRF Arabia starting in 2027, subject to market conditions. The transaction is expected to close in the first quarter of 2026, following regulatory approvals.
