Baladna a Qatari company, which has built a dairy business in the desert following a trade embargo by Saudi Arabia and its allies, will launch an initial public offering that could raise $392 million.
The company flew in thousands of Holstein cows after the embargo and Baladna’s rapid expansion since then has helped Qatar achieve self-sufficiency in dairy products that it previously mostly had to import.
Baladna is now Qatar’s largest dairy and beverage company, and its herd of cows has grown to approximately 18,000, housed in two farms spread over a total area of more than 2 million square meters.
Over the past year, Baladna expanded beyond dairy into juice production and shipped out its first exports, to Afghanistan, Yemen, and Oman.
In the IPO, the company plans to sell 75% of its share capital on the local stock exchange and proceeds will be used to strengthen the company’s balance sheet, it said in a statement.
“BFI already enjoys an unparalleled position in Qatar as a market leader with growing exports and increasing economies of scale,” Chief Executive Officer Kamel Abdallah said.
He added, “We look forward to continuing growth as Baladna leads the way towards real sustainability for Qatar as part of the Qatar National Food Security Programme.”