Aryzta has announced a deal that will see it dispose its Brazil business, marking the latest in a string of such sell-offs.
The food group said it has signed a binding agreement with Grupo Bimbo, with the sale expected to be complete by the end of its second quarter in fiscal 2022. No financial details of the deal were disclosed.
The move follows the completion of its North American business in May, for estimated net proceeds of €650m.
Urs Jordi, Chairman and interim CEO of Aryzta, said: “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. ARYZTA’s disposal program since September has exceeded expectations in all regards and accelerates the Group’s journey to financial stability. Our focus will now centre on delivery of sustainable organic growth and achieving industry profitability and efficiency levels through our multi-local business strategy.”
The company also revealed that it had entered into an underwritten agreement with three banks for a new €500m revolving credit facility. The facility, which is expected to be utilised by early October 2021, will replace the current €800m revolving credit facility that matures in September 2022.
