Information on the target
Halal Products Development Company (“HPDC”) is a wholly-owned subsidiary of the Public Investment Fund of Saudi Arabia (“PIF”), established in 2022 with the mission of expanding the halal ecosystem both within the Kingdom of Saudi Arabia and on a global scale. HPDC aims to position Saudi Arabia as a leading global halal hub while enhancing knowledge and innovation in the halal sector. The company focuses on the localization of knowledge, technology, and innovation to develop a diverse range of halal products.
Believe Pte Ltd is a prominent global manufacturer and distributor of halal cosmetics and personal care products. The company boasts a portfolio of five distinct brands that are distributed internationally. Believe is recognized for its commitment to quality, holding halal certification for all its products, and is considered one of the largest players in the halal cosmetics and personal care sector, distinguished by its extensive sales, product diversity, and market reach.
Industry overview in the target’s specific country
The halal products sector encompasses a wide array of categories, including food, cosmetics, and pharmaceuticals. In recent years, the demand for halal-certified products has surged, driven by a growing awareness of halal principles among consumers, particularly in Muslim-majority countries. This trend is further supported by the increasing globalization of the halal market, which has opened new opportunities for businesses to cater to diverse consumer preferences.
Saudi Arabia, as a key player in the halal industry, is strategically positioned to capitalize on this growth. The Kingdom's Vision 2030 initiative emphasizes the importance of diversifying the economy and promoting sectors such as halal products. This has led to significant investments in the halal ecosystem, fostering innovation and encouraging local and international partnerships.
Moreover, the halal cosmetics and personal care segment is witnessing robust growth, with consumers increasingly seeking products that align with their values and lifestyle choices. The rise of e-commerce and social media has further amplified the reach of halal brands, enabling them to connect with a broader audience and enhance brand visibility. As a result, the halal cosmetics market is expected to continue its upward trajectory, presenting lucrative opportunities for companies like Believe.
The rationale behind the deal The investment by HPDC into Believe Pte Ltd aligns with its strategic objective of promoting the halal ecosystem and establishing Saudi Arabia as a global halal hub. By partnering with a leading player in the halal cosmetics sector, …