Bimbo Bakeries to venture into Texas

Bimbo Bakeries USA has announced plans to invest $75m to establish a bakery facility in Rockwall, Texas, to boost its production capacity.

The 27,871m² facility will be constructed on a 16.18ha area in Phase II of Rockwall Technology Park and will initially feature two large baking lines for the production of breads and buns, with the possibility of future expansion to support additional lines.

Rockwall Economic Development Corporation, which owns the Rockwall Technology Park, said that the Bimbo Bakeries facilities will diversify the county’s tax base and take a significant burden off local residents.

The expansion plan is in line with the recent announcement made by Grupo Bimbo, the Mexico-based parent company of Bimbo Bakeries USA, to improve its production with $780m, nearly double the investment made in 2011.

Bimbo Bakeries USA has significantly expanded its operations in the US. In November 2011, Grupo Bimbo acquired the North American Fresh Bakery business of Sara Lee, in a deal that combined two leading baking companies in the US.

Through the acquisition, valued at $709m, Bimbo Bakeries USA gained ownership of a collection of leading regional bakery brands, such as Grandma Sycamore’s, Heiner’s and Rainbo, as well as 41 facilities in the US and nearly 4,800 distribution routes.

Bimbo Bakeries USA, based in Horsham, Pennsylvania, was formed in 1998 when Grupo Bimbo acquired Mrs. Baird’s Bakeries and merged it with the rest of its operations in the country.

Its brands include Arnold, Ball Park, Bimbo, Boboli, Brownberry, Entenmann’s, Earthgrains, Francisco, Marinela, Freihofer’s, Mrs. Baird’s, Oroweat, Sara Lee, Stroehmann, Thomas’, and Tia Rosa.

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Image: Bimbo Bakeries’ new Rockwall facility will feature two large baking lines for the production of breads and buns. Photo: Kspoddar