Industrias Bachoco closes acquisition of O.K. Industries
Nov. 3, 2011
by Meat&Poultry Staff
CELAYA, Mexico – Industrias Bachoco SAB de CV has successfully concluded acquiring O.K. Industries Inc. The total amount paid for O.K. was approximately $95 million.
The payment was paid in cash, part of which came from utilizing one of Bachoco's credit lines and the remainder from Bachoco's own resources. No debt was assumed from O.K. whose normalized EBITDA is estimated to be approximately $20 million per year. O.K. will continue operating under the same name and brands, with basically the same management team while maintaining its nearly 4,000 local workers.
"We are very pleased to complete this acquisition and extend a warm welcome to all our new staff members and suppliers,” said Rodolfo Ramos, Bachoco's chief executive officer. “I am very confident that working together, we will provide excellent service and quality products to all of our current and new customers."
Industrias Bachoco is the leading Mexican poultry company and a major player in Mexico's food industry. Its main product lines are chicken, table eggs, balanced feed and swine. Bachoco is based in Celaya, in the state of Guanajuato in central Mexico with operations throughout the country, including more than 700 facilities and 60 distribution centers.