Dutch Bakery gets financial boost
Dutch Bakery holds a leading position in The Netherlands, offering an ontrend portfolio of goods made sustainably with all-natural ingredients. The group operates six bakeries across the Netherlands and differentiates itself through the breadth of its product offering, which enables retailers to develop a structurally attractive home bake-off category.
3i Group is a British multinational private equity and venture capital company listed on the London Stock Exchange and a constituent of the FTSE 100 Index. The funds will be used to drive growth in the fragmented European private label market for bake-off products, as well as continued development at home.
Bake-off – key target for European industrial bakers
Bake-off is the strongest growing sector in a globally stagnant European bakery product market, with bake-off products now being the key target for almost all of Europe’s industrial bakers. Key market drivers include premiumisation, a trajectory growth in e-commerce and new home eating moments due to increased time spent at home, thanks to the pandemic. The market is forecast to grow at 3% CAGR to 2023, with a cumulative growth in over 1 million tonnes in the five years from 2018.
“We are excited to back the Dutch Bakery management team,” said Bastiaan Peer, director of 3i.
“They have put the right foundations in place for continued future growth, both organically and through a targeted buy-and-build strategy, and we look forward to working with them to realise this ambition.”
Raoul Vorage, CEO Dutch Bakery, added, “3i has extensive experience in the private label market through its investments in Royal Sanders and Refresco, and a proven track record of growing companies internationally, both of which will be of great benefit to us. We look forward to working with them to build on our success to date and create a leading European player in the bake-off market.”
The transaction is subject to customary antitrust approvals.
