Sponsored By

Weston Sells U.S. Bakeries for $2.5 Billion

In what analysts believe may be prelude to taking Loblaw Cos. private, George Weston Ltd. on Wednesday said it has agreed to sell its U.S. bakery divisions to Grupo Bimbo for $2.5 billion.

Jon Springer, Executive Editor

December 11, 2008

1 Min Read
Supermarket News logo in a gray background | Supermarket News

JON SPRINGER

TORONTO — In what analysts believe may be prelude to taking Loblaw Cos. private, George Weston Ltd. here on Wednesday said it has agreed to sell its U.S. bakery divisions to Grupo Bimbo for $2.5 billion.

Weston is the largest U.S. baker with brands including Arnold, Brownberry, Entenmann's, Freihofer, Stroehmann and Thomas. Weston said the deal is set to close in the first quarter of 2009. George Weston has a controlling interest in Loblaw.

Analysts have said they anticipate the group would use proceeds of this sale — along with that it gained recently in selling in Canadian dairy operations — in order to purchase the 38% of Loblaw Cos. it does not already own. Weston in a statement Wednesday said it would use the cash “wisely and at the appropriate time.”

Read More of Today's Headlines

About the Author

Jon Springer

Executive Editor

Jon Springer is executive editor of Winsight Grocery Business with responsibility for leading its digital news team. Jon has more than 20 years of experience covering consumer business and retail in New York, including more than 14 years at the Retail/Financial desk at Supermarket News. His previous experience includes covering consumer markets for KPMG’s Insiders; the U.S. beverage industry for Beverage Spectrum; and he was a Senior Editor covering commercial real estate and retail for the International Council of Shopping Centers. Jon began his career as a sports reporter and features editor for the Cecil Whig, a daily newspaper in Elkton, Md. Jon is also the author of two books on baseball. He has a Bachelor of Arts degree in English-Journalism from the University of Delaware. He lives in Brooklyn, N.Y. with his family.

Stay up-to-date on the latest food retail news and trends
Subscribe to free eNewsletters from Supermarket News

You May Also Like