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Bachoco Acquires U.S. Fully Cooked Facility - $11M

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Industrias Bachoco S.A.B. de C.V. ("Bachoco" or "the Company") (NYSE: IBA; BMV: Bachoco), Mexico's leading producer and processor of poultry and other food products, announced today that it reached an agreement to acquire from American Foods Group a Fully Cooked facility located in Oklahoma City, OK

The transaction is valued at approximately $11 million dollars. This acquisition comprises all the assets located in Oklahoma City, with a capacity to produce over 700,000 pounds per week, of fully cooked chicken products.

Rodolfo Ramos, Bachoco's Chief Executive Officer, stated:

"This is a strategic acquisition for our Company as we continue to streamline and improve the product mix in our U.S. operations. This means that we will be able to integrate other further processed customers into our sales mix and move out from the commodity market. This strategy is in line with our growth plans in the U.S."

The company expects to close the deal in February, 2016 through OK Foods subsidiary located in Arkansas and Oklahoma.

Posted-In: News M&A Press Releases

 

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