"The transaction value is 312 million riyals ($83 million) and is financed from a combination of operational cash flows and Islamic banking facilities," Almarai said in a bourse statement. 

Fondomonte S.A. has three farms totaling 12,306 hectares which focus on the production of corn and soy beans, the statement said.

In June Almarai said it plans to invest 4 billion riyals in the poultry sector. Earlier this month Almarai said it plans to increase its capital by 73.9 percent to 4 billion riyals from 2.3 billion through the distribution of one bonus share for each 1.739 shares.