Canada Bread says ‘arrivederci’ to fresh pasta
Canadian food giant Maple Leaf Foods subsidiary selling Olivieri Foods to Spanish company.
Canada Bread Company
Canadian company sold
Maple Leaf Foods
Olivieri Foods Limited
Canada Bread Company, Ltd.—a subsidiary of Canadian food giant Maple Leaf Foods—is selling its Olivieri Foods Limited division to Madrid, Spain-based Ebro Foods, S.A. for approximately $120 million.
Olivieri Foods, the company’s fresh pasta and sauce business, produces flat and filled fresh pasta products and sauces at facilities in Hamilton, Ont. and Delta, B.C employing around 375 people helping it garner 2012 sales of $105.5-million.
Olivieri’s parent company, Canada Bread, is 90 per cent owned by Maple Leaf Foods.
Earlier this week Maple Leaf announced it was considering divesting its bakery business to concentrate on its meat business.
“This sale represents an excellent opportunity to optimize the value of our fresh pasta business, while realizing its potential under a company dedicated to expanding in the global pasta industry,” says Canada Bread president and chief executive officer Richard Lan. “With the leading Canadian brand in fresh pasta, a strong consumer and customer base and highly skilled employees, this acquisition provides Ebro Foods with an excellent growth platform.”
Ebro Foods is the world’s second-largest pasta manufacturer, and is a leading rice producer. It operates or sells products in more than 25 countries in Europe, N.A., Asia and Africa.
The deal is expected to close by the end of 2013.