Mondelēz International has entered into an agreement with Grupo Bimbo to acquire its confectionery business, Ricolino, for approximately US$1.3 billion. Ricolino is a growing business with a leading confectionery position in Mexico.
The transaction, which is subject to customary closing conditions, will be funded through an issuance of debt and cash on hand and is expected to close in late Q3 or early Q4, 2022. It is anticipated to help boost Mondelēz International’s business in the high-priority Mexico market to accelerate growth and scale in core snacking categories.
With approximately US$500 million in annual revenue, Ricolino employs close to 6,000 associates, has four manufacturing facilities and distributes its products to several channels, including traditional trade, supermarkets, convenience stores and others.
Its brands Ricolino, Vero, La Corona and Coronado are leaders in lollipops, marshmallows, chocolates, gummies and other confectionery products.
“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,” comments Dirk Van de Put, chairman and CEO of Mondelēz International.
