CELAYA, Mexico, Dec. 18 /PRNewswire-FirstCall/ -- ("Bachoco" or "the
Company") (NYSE: IBA; BMV: Bachoco B), Mexico's leading producer and
processor of poultry products, today announced that it has reached an
agreement with "Grupo Agra", a table eggs company located in the states of
Nuevo Leon and Coahuila in Northeast Mexico. The agreement establishes a
rent scheme of the facilities, which include laying hens farms with a
capacity of approximately 1.0 million hens, a table eggs processing plant,
distribution centers, and the Agra brands. In addition, Bachoco will
acquire all the working capital.
Cristobal Mondragon, Industrias Bachoco CEO, said, "This agreement
brings flexibility to our business and reinforces our table eggs business
line in the northeast market of the country. We will immediately focus on
the integration of this operation with our table eggs operation located in
the state of Coahuila and take advantage of synergies."
The agreement will be financed with internal resources and Bachoco will
take control of the facilities immediately.
Industrias Bachoco S.A.B. de C.V. (also referred to in this report as
Bachoco or the Company) was founded by the Robinson Bours family in 1952,
in the state of Sonora. Since then, it has grown into the largest poultry
company in Mexico, with over 700 production and distribution facilities
currently organized in seven complexes throughout the country. Bachoco's
main business lines are chicken, eggs, and swine, and the Company is also
an important player in the balanced feed industry in Mexico. The Company's
headquarters are based in Celaya, Guanajuato, located in Mexico's central
Industrias Bachoco made an initial public stock offering in September
1997. Its securities are listed and traded on the Mexican Stock Exchange
(Bolsa Mexicana de Valores or BMV) under the ticker symbol Bachoco B, and
on the New York Stock Exchange (NYSE) under the ticker symbol IBA.
The Company posted net sales of U.S. $1.39 billion for 2006, divided
among the Company's four main product lines as follows: 77.6% chicken, 9.2%
table eggs, 9.0% balanced feed, and 4.2% swine and other lines.
Industrias Bachoco's shares are listed on the Mexican Stock Exchange
and its American Depositary Shares (ADS) are listed on the New York Stock
Exchange. One ADS represents twelve B Shares. For more information, please
visit Bachoco's website at http://www.bachoco.com.mx.
This press release contains certain forward-looking statements that are
subject to a number of uncertainties, assumptions and risk factors that may
influence its accuracy. Actual results may differ. Factors that could cause
these projections to differ, include, but are not limited to: supply and
demand, industry competition, environmental risks, economic and financial
market conditions in Mexico and operating cost estimates. For more
information regarding Bachoco and its outlook, please contact the Company's
Investor Relations Department.
SOURCE Industrias Bachoco S.A.B. de C.V.