George Weston has signed an agreement to sell its Weston Foods ambient bakery business to Hearthside Food Solutions for CAD 370 million ($295.3 million approx.).
George Weston first announced its intention to sell its bakery segment in March, as it looked to focus on its retail and real estate units. Last month, the Toronto-based company reached a deal to sell its fresh and frozen bakery businesses to affiliated entities of FGF Brands for CAD 1.2 billion ($970.6 million approx.).
George Weston’s chairman and CEO, Galen Weston, said: “With the agreement to sell the ambient segment to Hearthside and our previously announced sale of the fresh and frozen businesses, we have two high-quality buyers that are well-positioned to carry on the proud legacy of the Weston Foods business. With the sale of the entire bakery business, George Weston will be focused on its market-leading retail and real estate businesses going forward.”
Hearthside’s CEO, Chuck Metzger, added: “The Weston Foods acquisition is an ideal complement to our existing production network and business, bringing baking capacity, a roster of premier customers, expanded capabilities, and enhanced geographic coverage”.
The sale of the fresh, frozen and ambient businesses represents the disposition of George Weston’s entire bakery business, for a total value of CAD 1.57 billion.
The deal is subject to regulatory approvals and is expected to close in early 2022.
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