Naqi Water closes poultry project acquisition, inks supply deal

One of Naqi Water production line

Naqi Water Co. announced completing the acquisition of a poultry project, raising its ownership in the project to 100%. 

Naqi Water also signed a SAR 2.4 million agreement to supply 103,000 Lohmann egg-laying hens, the company said in a statement to Tadawul, noting that there is no other financial impact. The deal was entirely funded by the company's own resources. 

The company added that the chickens to be supplied are 17-week old and will begin full production at the age of 20 weeks. The supply agreement will help raise the project’s capacity from 42% at present to 85%, which will boost production capacity by 161%. 

Naqi Water is working to utilize the remaining capacity of the poultry project and increase production capacity by improving the efficiency of production elements. 

The company expects the financial impact of these developments to begin in the fourth quarter of 2023, and to exceed the initial expectations from the previous announcement.

In July, Naqi Water signed a contract to fully acquire a project for egg-laying chicken from Abdullah bin Saleh bin Abdullah Al-Bethi for Poultry in Qassim for SAR 7 million, according to data available on Argaam.