CELAYA, Mexico, Oct. 28, 2011 /PRNewswire/ -- Industrias Bachoco S.A.B. de C.V. (" Bachoco" or "the Company") (NYSE: IBA; BMV: Bachoco), Mexico's leading producer and processor of poultry and other food products, announced today that the Company reached an agreement to acquire O.K. Industries, Inc. ("O.K.") a privately- owned poultry company.
Founded in 1933, O.K. Industries, Inc. has grown from a local, balanced feed company into one of the largest vertically-integrated poultry companies in the United States. Headquartered in Fort Smith, Arkansas O.K. operates facilities across the River Valley area in Arkansas and Oklahoma, processing 2.5 million chickens per week, with total annual sales of approximately US$ 600 million, O.K. supplies grocery retailers, foodservice distributors and commodity customers in all U.S. as well as foreign markets.
Mr. Rodolfo Ramos, Bachoco's Chief Executive Officer, stated: "This acquisition is one of the most transcendental steps for Bachoco, since it is our first international acquisition and first entry into the U.S. poultry market.
Bachoco will benefit from the knowledge and expertise of O.K.'s experienced management team, a key reason behind their industry leadership. This will also enable Bachoco to enhance its product offering and regional footprint, while achieving a better understanding of the U.S. chicken market."He added, "With the acquisition of O.K. Industries, Bachoco reinforces its commitment to serving its markets, through the incorporation of its nearly 4,000 local workers into the Company's workforce, as well as hundreds of regional growers. Bachoco will continue to operate its newly-acquired entity as O.K. Industries, Inc." The transaction will take effect immediately and will be complete as all the authorities' requirements are satisfied.