Swiss-based bakery group Aryzta is to acquire Pineridge Bakery in Canada and Cloverhill Bakery in the US for $1bn. The company, with operations across the globe, also announced half year results for the period ending 31 January 2014. Half year revenues increased 5.7% to €1.59bn. Food Europe drove the revenue growth (19.1%), while sales in North America and rest of world dropped by 3.5% and 9.9%, respectively. EBITA increased 5.6% to €194.2m. EBITA margins were maintained at 12.3%. Net profits increased by 6.5% to €129.4m.
Swiss-based bakery group Aryzta is to acquire Pineridge Bakery in Canada and Cloverhill Bakery in the US for $1bn.
The company, with operations across the globe, also announced half year results for the period ending 31 January 2014. Half year revenues increased 5.7% to €1.59bn. Food Europe drove the revenue growth (19.1%), while sales in North America and rest of world dropped by 3.5% and 9.9%, respectively. EBITA increased 5.6% to €194.2m. EBITA margins were maintained at 12.3%. Net profits increased by 6.5% to €129.4m.
Aryzta said these acquisitions will boost the bakery capabilities, customer access and product portfolio in North America.
Aryzta CEO Owen Killian said: “We have begun to undertake consolidation opportunities to extend market share and customer relevance in what is a fragmented sector.”
The company is majority shareholder in Origin Enterprises plc (68.1%).
Origin results
Origin Enterprises has reported revenues of €517.6m for the six-month period to the end of January 2014. While this represents an 8.8% decrease on revenues for the same period last year, the company said it had “delivered a solid operating and financial performance during the seasonally quiet first half of the financial year”.
Operating profit in the company’s agri-services division rose by 68.1% from €2.4m to just over €4m, while net debt was reduced by €15.2m to €163.6m.
Origin CEO Tom O’Mahony said the key agri-services division had “performed ahead of last year and is well positioned for the seasonally more significant second half of the year as near perfect autumn growing conditions, principally in the United Kingdom, supported a strong recovery in winter arable plantings”.
Origin recently acquired a 60% controlling stake in the Ukraine-based company Agroscope for €12.7m, with an option to assume full control of the business in the future. Agroscope imports and distributes seeds, crop protection products and fertilizers as agronomy services.
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