Grupo Bimbo to buy Mexican confectionery group
June 23, 2010
by Eric Schroeder
MEXICO CITY — Grupo Bimbo S.A.B. de C.V. has reached agreement to acquire Mexican confectionery group Dulces Vero. Financial terms of the transaction were not disclosed.
Founded in 1952, Dulces Vero makes a range of sweets and confections, including lollipops, gummies, caramels and marshmallows. The company, which will be folded into Grupo Bimbo’s snack division, had 2009 sales of approximately 1.1 billion pesos ($87 million).
“The acquisition of these assets strengthens Grupo Bimbo’s position in the Mexican confectionery market through its Barcel subsidiary, and furthers the company’s strategy of reaching across all socio-demographic segments,” Grupo Bimbo said. “Along with sales and cost synergies, Vero’s strength in the wholesale 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 U.S. Hispanic market and provide an opportunity to further expand the company’s presence in that country.”