Mexico's Grupo Bimbo, the world's largest bakery company, has acquired Slovenia-based bakery group Don Don, which has a strong presence in the Balkans.
Don Don will lead Grupo Bimbo's expansion into central and southern Europe, a region where the Mexican giant has yet to establish a significant foothold.
The acquisition will enable Don Don to leverage Grupo Bimbo's global reach to further expand its presence across its existing markets, including Serbia, Bosnia and Herzegovina, Bulgaria, Romania, and Croatia, with exports to Kosovo, North Macedonia, Greece, and Slovakia.
Don Don
In Slovenia, Don Don operates two production facilities, one in Kranj and one in Grosuplje, and owns the brands Tvojih 5 Minut and Pekarna Grosuplje.
The company employs over 2,400 people and generated €190 million in sales in 2023, an 8% year-over-year increase, with net profit nearly doubling to €21 million.
With this acquisition, Grupo Bimbo will expand its geographic presence to 39 countries and its customer base. The consolidated group plans to invest in advanced technology facilities, strategic partnerships, and acquisitions in key markets.
While the exact value of the transaction and the specific details of the partnership have not been publicly disclosed, both companies are expected to meet the necessary conditions within the next five months.
Grupo Bimbo
Grupo Bimbo is also in the process of acquiring Wickbold, a Brazilian baking company, subject to regulatory approval. The company recently completed the acquisition of Pagnifique, a leading Uruguayan producer of high-quality frozen bread.
The Mexican company, with a presence across North and South America, Europe, Asia, and Africa, operates nearly 230 production facilities and over 1,500 sales centers.
Grupo Bimbo's scale is significantly larger than Don Don's, with Q3 2024 net sales reaching MXN 106 billion (€4.8 billion), an annual increase of 7.4%, and a gross profit of MXN 56 billion (€2.5 billion).
In Mexico, the company's sales grew 6.6%, as did North and Latin America, where revenues grew 5.7% and 12.7%, respectively. In Europe, Asia, and Africa, sales were 20.1% higher.
