Bakery giant Aryzta has announced the disposal of its Brazil business to Grupo Bimbo SAB de CV, in a deal that is expected to be completed by the second quarter of its 2022 financial year.
The group said in a statement that it has signed binding documents confirming the deal, which is subject to customary closing conditions.
Rebuild Aryzta's Leadership
“The successful sale of the Brazil businesses is a further positive step in the delivery of our strategy to rebuild Aryzta’s leadership in bakery in Europe and Asia," Urs Jordi, the interim chief executive of Aryzta, said in a statement.
The group was advised on the Brazil transaction by Houlihan Lokey and Alantra, PinheiroNeto and KPMG.
Revolving Credit Facility
Elsewhere, Aryzta announced that it has entered into an underwritten agreement with three banks, Credit Suisse, Rabobank and UBS, for a new €500 million revolving credit facility.
The new facility, which will be utilised by early October 2021, will replace the current €800 million revolving credit facility, which matures in September 2022.
"Aryzta’s disposal program since September has exceeded expectations in all regards and accelerates the group’s journey to financial stability," Jordi commented. "Our focus will now centre on delivery of sustainable organic growth and achieving industry profitability and efficiency levels through our multi-local business strategy.”
Aryzta will reveal its full-year results on 4 October, while the group's AGM will be held on 17 November.
In June of this year, the group unveiled former Nestlé executive Martin Huber as its new chief financial officer, while in March, it announced the sale of its Swiss sandwich business to Bell Food Group.