Lantmännen Unibake Acquires Hungarian bakery

The acquisition of new production capacity in Hungary is a part of Lantmännen Unibake’s international expansion strategy and will see the company strengthen its position in the Central European market.

24 Jun 2010 --- Lantmännen Unibake, one of Europe’s leading frozen bakery products suppliers, continues its global expansion. Since 2008, four major acquisitions have been made and Lantmännen Unibake takes another important step with the acquisition of a new fast food bakery from Hungarian Milling and Bakery group Elsö Pesti for an undisclosed fee.

The acquisition of new production capacity in Hungary is a part of Lantmännen Unibake’s international expansion strategy and will see the company strengthen its position in the Central European market.

Commenting on the acquisition, Lantmännen Unibake CEO Bent Pultz Larsen, says:
“We believe that building on existing knowledge is essential for our future growth. Therefore, we are proud to announce the acquisition of a new bakery in Hungary, a very important step in our expansion in the Central European region. We want to follow our international customers into the Central and Eastern European market and with production in Russia, Poland and now Hungary we have the best possible setup for matching our customers’ needs and demands for the future”.

According to Bent Pultz Larsen, the new Hungarian bakery also secures Lantmännen Unibake an ideal production platform and direct access to a well-established sales and distribution network throughout the region.

“With its location in the Central European region, the Hungarian market has a remarkable potential for future growth both in existing as well as new and unexploited sales channels”, comments Bent Pultz Larsen.

Five major investments in two years

With the acquisition of the new Hungarian bakery, Lantmännen Unibake completes its fifth major investment since 2008.

In February 2008, Lantmännen Unibake acquired Baco Oy, the largest fast food bakery in Finland, as a step toward expanding its market share in the Baltics and Russia.

In April 2008, the company took its first steps toward establishing itself as a major player in the American bread market with its acquisition of Euro-Bake, one of the Southeast’s premier artisan bakeries, a 200-person bakery specializing in European inspired bread types.

In June 2008, Lantmännen Unibake acquired production capability in the UK for the first time with the purchase of Eurobuns, a leading bakery just outside of London. The acquisition opened the door to the frozen bread market in the UK, of which Eurobuns at the time controlled around 50 percent.

In May 2009, Lantmännen Unibake became the majority shareholder in Bakehouse, UK’s leading supplier of sweet and savoury pastries and speciality breads. The purchase continued Lantmännen Unibake’s massive investments in the British market making it the company’s biggest market.

Including the Hungarian bakery, Lantmännen Unibake now has 86 bakery lines in 26 bakeries in 11 countries. The Group employs 4,000 people and has an annual turnover of 727 million Euros.