Grupo Bimbo to acquire mexican Confectioner Vero
Grupo Bimbo, S.A.B. de C.V. (“Grupo bimbo” or the “Company”) (BMV: BIMBO), today announced that it has reached an agreement to acquire the core assets of Mexican confectionary group Dulces Vero (“Vero”).
Vero was founded in 1952 and produces a wide range of sweets and confections, including lollipops, gummies, caramels and marshmallows, among others. The company has extensive and proprietary kown-how in manufacturing aramel and chile-based products. Vero employs 1,500 associates and generated sales of approximately MXN 1,100 million in 2009 and MXC 220 million in EBITDA.
The acquisition of these assets strengthens Grupo Bimbo’s position in the Mexican confectionary market through its Barcel subsidiary, and furthers the Company’s strategy of reaching across all socio-demographic segments. Along witth sales and cost synergies, Vero’s strength in the wholesales channel, combined with Barcel’s extensive retail distribution network, will provide a strong platform for continued growth. Furthermore, Vero’s products complement Barcel’s portfolio in the US Hispanic market and provide an opportunity to further expand the Company’s presence in that country.
The acquisition is subject to customary conditions, including authorization from the Comisión Federal de Competencia.
