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Al-Munajem, a Saudi food group, and LDC, France's largest poultry processor, will acquire production sites of Brittany-based Doux, Reuters reported, citing a French business court decision.
Under the proposals backed by the court in Rennes, Al-Munajem, a client and minority shareholder of Doux, will take over a site supplying Doux's traditional frozen chicken exports.
LDC will take over a facility that makes processed food products and plans to develop a new site to supply poultry to the food industry and restaurant sectors in France.
The court preferred LDC and Al-Munajem's offers to a proposal by MHP, a poultry producer in Ukraine.
Terrena decided to seek buyers after Doux lost around 35 million euros in each of the past two years. Doux was placed under court protection last month under accelerated insolvency proceedings to help secure a buyer.
Separately, Al-Munajem and LDC also agreed to form a joint company with French agricultural cooperative Terrena, the main shareholder of Doux, and local partners including the regional authority in Brittany to provide supplies for poultry farmers in northwest France who work with Doux.
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