Mondelez International to Expand in Mexico With Purchase of Candy Maker Ricolino
April 25 2022 - 7:46AM
Dow Jones News
By Will Feuer
Mondelez International Inc. says it has reached a deal to buy
Grupo Bimbo's confectionery business, Ricolino, for about $1.3
billion.
Ricolino--which employs about 6,000 people, has four
manufacturing facilities and distributes its products to
supermarkets and convenience stores throughout Mexico--does about
$500 million in annual sales, Mondelez said.
The deal would expand Mondelez's presence in the snacking
category and double the size of Mondelez's Mexico business, the
company said.
"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," Mondelez Chairman and Chief Executive Dirk Van de Put
said.
The deal will be funded through an issuance of debt and cash on
hand and is expected to close in the third or fourth quarter of the
year, Mondelez said.
Write to Will Feuer at Will.Feuer@wsj.com
(END) Dow Jones Newswires
April 25, 2022 08:31 ET (12:31 GMT)
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