Grupo Bimbo Files Statement of Claim Against Maple Leaf Foods Inc. and Former Senior Officers and Directors Seeking More Than CAD $2 Billion in Damages
TORONTO, Nov. 29, 2024 /CNW/ - Today, Grupo Bimbo S.A.B. de C.V. ("Grupo Bimbo") issued a Statement of Claim in the Ontario Superior Court of Justice against Maple Leaf Foods Inc. ("Maple Leaf") and certain senior officers and directors of the Company in relation to the sale of Canada Bread Company, Limited ("Canada Bread") to Grupo Bimbo in 2014.
Grupo Bimbo is seeking over CAD $2 billion in damages from Maple Leaf and certain senior officers and directors of the Company for alleged fraudulent and negligent misrepresentation during the Canada Bread sale process, or restitution for unjust enrichment.
At the time Canada Bread was sold to Grupo Bimbo, Maple Leaf was the 90% owner, controlled Canada Bread, and led the transaction negotiations and diligence process. Following the sale, in 2017 Canada Bread was the subject of a price-fixing investigation within the commercial bread industry by the Competition Bureau. A subsequent prosecution resulted in Canada Bread paying a fine of CAD $50 million in 2023 and an on-going class action brought against market participants.
About Grupo Bimbo
Grupo Bimbo is the leader and largest baking Company in the world and a relevant participant in snacks. Grupo Bimbo has 223 bakeries and plants and more than 1,500 sales centers strategically located in 35 countries throughout the Americas, Europe, Asia and Africa. Its main product lines include sliced bread, buns & rolls, pastries, cakes, cookies, toast bread, English muffins, bagels, tortillas & flatbreads and salty snacks, among others. Grupo Bimbo has one of the largest direct distribution networks in the world with more than 58,000 routes and over 152,000 associates. Its shares trade on the Mexican Stock Exchange (BMV) under the ticker symbol BIMBO, and in the over-the-counter market in the United States with a Level 1 ADR, under the ticker symbol BMBOY.
SOURCE Grupo Bimbo
