:. Food Industry News

Categories: Mergers and Acquisitions

Canada Bread Expands its UK Bakery Operations with Acquisition of The French Croissant Company and Avance UK Limited

Source: Canada Bread Company Limited
28/11/2006

Toronto, Nov. 28 - Canada Bread Company Ltd. today announced the acquisition of The French Croissant Company Limited and Avance U.K. Limited from Primebake Limited.

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The two companies have combined sales of approximately (pnds stlg)40 million (approximately CDN$85 million) and employ approximately 370 people at bakery plants in Park Royal and Maidstone, England. These operations manufacture high quality croissants products and fresh, frozen and long-life specialty bakery items, such as baguettes and pizza dough balls. Both bakeries market primarily to retail customers throughout the United Kingdom.     

"This marks an important and exciting next step toward building category leadership in the U.K. bakery market," said Richard Lan, President and Chief Executive Officer. "These highly complementary businesses bring outstanding people and assets, customer relationships and excellent products to our U.K. bakery operations. We are very pleased to welcome these new employees to Canada Bread."     

With this acquisition and the purchase of the Harvestime bakery in Walsall, England earlier this year, the Company has significantly expanded its sales and manufacturing capacity and diversified its business from predominantly bagel production to include a broad range of specialty baked goods, and is now one of the largest suppliers to in-store bakeries in the United Kingdom.

Canada Bread Company Limited, which is 87.5% owned by Maple Leaf Foods Inc., is a leading manufacturer and distributor of flour-based products including fresh, frozen and par-baked bread, rolls and bagels, sweet goods and specialty pastas and sauces. Canada Bread markets products under leading brands including Dempster's and Olivieri in Canada and the New York Bagel brand in the United Kingdom.



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