Almarai's $253.2 million cash and stock bid for Hail Agricultural Development Co (Hadco) has obtained regulatory approval, leaving the merger's fate up to the shareholders. The Capital Market Authority (CMA) said at least 50 percent of shareholders in Hadco, would need to approve Almarai's proposal for the deal to go through. A conclusive end to the bid, which was initially unveiled in July would give the Saudi stock exchange, the Arab world's largest, its first takeover involving listed companies. The two firms have fixed a Nov. 30 deadline for conclusion of the agreement. Hadco shares closed the previous session at SR30.1, which matched exactly Almarai's bid, and was 2.7 percent its level since the two companies' boards agreed to the takeover terms on July 1. Almarai had to improve an initial bid it made in November by 35.3 percent. According to Dubai-based Shuaa Capital, Hadco is the Kingdom's fourth largest poultry producer. Hadco also produces olives, wheat, dates and grass fodder.
