Mondelēz International Agrees to Acquire Ricolino, Mexico’s Leading Confectionery Company, from Grupo Bimbo
25 April 2022 - 10:00PM
Mondelēz International (Nasdaq: MDLZ) today announced it has
entered into an agreement with Grupo Bimbo to acquire its
confectionery business, Ricolino, for approximately $1.3 billion
USD. Ricolino is a growing business with a leading confectionery
position in Mexico. The acquisition will transform Mondelēz
International’s business in the high-priority Mexico market to
accelerate growth and scale in core snacking categories.
With approximately $500 million USD in annual revenue, Ricolino
employs close to 6,000 associates, has four manufacturing
facilities and distributes its products to several channels,
including traditional trade, supermarkets, convenience stores and
others. Its iconic brands Ricolino®, Vero®, La Corona® and
Coronado® are leaders in lollipops, marshmallows, chocolates,
gummies and other confectionery products.
The acquisition will double the size of Mondelēz Mexico’s
business and provide an attractive entry point into the chocolate
category, while expanding the company’s presence in snacking. It
also provides significant opportunities for synergies and
accelerated growth. For Grupo Bimbo, the leading baking company in
the world, this transaction will enable focus on its grain-based
baking and snacks businesses.
“This acquisition will provide a step change for our business in
Mexico, an important growth market for us, more than tripling our
routes to market and growing our position in core snacking
categories,” said Dirk Van de Put, Chairman and CEO of Mondelēz
International. “We are thrilled to welcome Ricolino’s talented
people and amazing brands into the Mondelēz International
family.”
Many of Ricolino’s chocolate and candy brands have more than 50
years’ history in Mexico. Today, the company’s more than 2,100
direct store delivery routes reach 440,000 traditional trade
outlets, providing significant scale and broad brand
availability.
“We ventured into the confectionery industry with the
establishment of Ricolino in 1970; today, after 52 years of growth
and progress, it is the industry leader in Mexico. We truly
recognize the Ricolino family for this amazing accomplishment and
are deeply thankful for their commitment and hard work. I’m
confident that Mondelēz International will leverage these amazing
brands to a much higher position,” said Daniel Servitje, Chairman
and CEO of Grupo Bimbo.
“I want to take the opportunity to thank all of our associates
for their dedication and commitment. They have given their best and
I feel very proud of them,” said Fernando Lerdo de Tejada S.,
President of Ricolino.
The acquisition of Ricolino will build on Mondelēz
International’s continued prioritization of fast-growing snacking
segments in key geographies. In January 2022, Mondelēz
International closed on its acquisition of Chipita S.A., the leader
in the Central and Eastern European snack-size cakes and pastries
category. This followed a year of growth in 2021 supported by the
acquisition of Grenade, a leading UK performance nutrition company;
Gourmet Food Holdings, a leading Australian food company in the
attractive premium biscuit and cracker category; and Hu, a
well-being snacking company in the United States.
The transaction, which is subject to customary closing
conditions, will be funded through an issuance of debt and cash on
hand and is expected to close in late Q3 or early Q4
2022.About Mondelēz InternationalMondelēz
International, Inc. (Nasdaq: MDLZ) empowers people to snack right
in over 150 countries around the world. With 2021 net revenues of
approximately $29 billion, Mondelēz International is leading the
future of snacking with iconic global and local brands such as
Oreo, belVita and LU biscuits; Cadbury Dairy Milk, Milka and
Toblerone chocolate; Sour Patch Kids candy and Trident gum.
Mondelēz International is a proud member of the Standard and Poor’s
500, Nasdaq 100 and Dow Jones Sustainability Index.About
Grupo Bimbo: Grupo Bimbo is the leader and largest baking
Company in the world and a relevant participant in snacks. Grupo
Bimbo has 206 bakeries and plants and more than 1,600 sales centers
strategically located in 33 countries throughout the Americas,
Europe, Asia and Africa. Its main product lines include sliced
bread, buns & rolls, pastries, cakes, cookies, toast, English
muffins, bagels, tortillas & flatbreads, salty snacks and
confectionery products, among others. Grupo Bimbo produces over
10,000 products and has one of the largest direct distribution
networks in the world, with more than 3.1 million points of sale,
more than 56,000 routes and over 139,000 associates. Its shares
trade on the Mexican Stock Exchange (BMV) under the ticker symbol
BIMBO, and in the over-the-counter market in the United States with
a Level 1 ADR, under the ticker symbol
BMBOY.Forward-Looking Statements:This press
release contains forward-looking statements. Words, and variations
of words, such as “will,” “may,” “expect” and similar expressions
are intended to identify these forward-looking statements,
including, but not limited to, statements about Mondelēz
International’s strategy and plans for growth; the transaction, the
expected results of the transaction and the impact of the
transaction on Mondelēz International’s business; and the funding
and closing of the transaction. These forward-looking statements
are subject to a number of risks and uncertainties, many of which
are beyond Mondelēz International’s control, which could cause
Mondelēz International’s actual results to differ materially from
those indicated in these forward-looking statements. Please also
see Mondelēz International’s risk factors, as they may be amended
from time to time, set forth in its filings with the U.S.
Securities and Exchange Commission, including its most recently
filed Annual Report on Form 10-K. Mondelēz International disclaims
and does not undertake any obligation to update or revise any
forward-looking statement in this press release, except as required
by applicable law or regulation.
Contact: |
Tracey Noe (Media) |
Shep Dunlap (Investors) |
|
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+1 847 943 5678 |
+1 847 943 5454 |
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news@mdlz.com |
ir@mdlz.com |
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