Grupo Bimbo has acquired Canadian bakery group Italian Home Bakery, the Mexican giant's latest purchase in the market.
Speaking on a conference call to discuss Bimbo's half-year results yesterday (22 July), CEO Daniel Servitje said the deal had been closed last week.
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Toronto-based Italian Home Bakery produces fresh artisan bread and rolls and frozen bread products. It has an annual turnover of C$11m (US$8.5m) and ships products to retailers and foodservice chains across Canada.
Servitje said: "The company has one production plant and while small, reinforces our presence and production capacity in this part of Canada and the US."
The deal marks Bimbo's third Canadian acquisition in just over a year. Last May the company bought Canada Bread from Maple Leaf Foods in a C$1.83bn deal. Earlier this year it acquired Saputo's Canadian bakery business for C$120m.
Bimbo has seen some challenges in Canada in recent weeks. The company said its Canadian business had posted a "soft [second] quarter primarily due to volume pressures related to industry dynamics and integration expenses".
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By GlobalDataIn the US and Canada as a whole, sales increased 31.5% in peso terms during the second quarter, boosted by the Canada Bread acquisition.
