Edita acquires 49% stake in TJA as it expands presence in Iraq

IRAQ – Egyptian snack manufacturer Edita Food Industries has acquired a 49% stake in Iraqi packaged snacks company Tuama Jebur Abbas (TJA) for US$8 million, marking a significant step in its regional expansion strategy.

The partnership establishes Edita Iraq, the company’s first local production presence in the country.

Edita, listed on both the London and Cairo stock exchanges, is renowned for its branded baked snacks, including cakes, wafers, and biscuits under brands such as Todo, Molto, and Bake Rolz.

While the majority of its revenue is generated in Egypt, the company has been increasingly focusing on exports. In the third quarter of 2024, Edita reported a 71.9% year-on-year increase in export revenue, reaching EGP533.1 million (US$10.59 million).

Established in 2018, TJA is a family-owned snack manufacturer based in Baghdad. The partnership includes a factory equipped with three production lines, two for cakes and one for biscuits.

Under the terms of the agreement, Edita Iraq will be managed through a UAE-based holding company, granting Edita management control.

A technical know-how and manufacturing assistance agreement aims to maximize production capacity, efficiency, and control. Additionally, a trademark agreement secures the rights to launch Edita’s brand portfolio in Iraq, broadening the company’s product range and market presence.

According to Edita, the compay plans to invest more than US$27 million in the Iraqi market over the next three years. The company aims to leverage its established brand equity through exports, including the Molto and Tiger Tail brands, which generated approximately US$10.2 million in 2023 sales.

“Today marks a pivotal moment in Edita’s regional expansion strategy, leveraging our proven recipe for entering underserved markets and creating new segments through our brands, technical know-how, and innovation, “stated Hani Berzi, CEO of Edita.

Berzi added that, Iraq’s growing economy and untapped snack-food market present a unique opportunity for Edita to establish a national champion.

“We’re excited to partner with TJA, whose local expertise will help us bring Edita’s innovation to Iraqi consumers.”

On his part, Qusay Tuama Jebur, managing director of TJA, added that the partnership with Edita marks a significant milestone in their journey, combining their expertise with Edita’s capabilities to enhance production and deliver products that meet the highest quality standards.

“Together, we are opening new doors of opportunity in local and regional markets, paving the way for sustainable success.”

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