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CONFORMED
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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
Report of Foreign Issuer
Pursuant to Rule 13a-16 Or 15d-16
Of The
Securities Exchange Act of 1934
For the month of February 2007
BACHOCO INDUSTRIES
(Translation of Registrant's name into English)
Avenida Tecnologico No. #401
38010 Celaya, Guanajuato
(Address of principal office)
(Indicate by check mark whether the registrant files or will file annual reports
under cover of Form 20-F or Form 40-F.)
(Check One) Form 20-F [x] Form 40-F [ ]
(Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing information to the Commission
pursuant to Rule 12g-3-2(b) under the Securities Exchange Act of 1934.)
(Check One) Yes [ ] No [x]
(If "Yes" is marked, indicate below the file number assigned to the registrant
in connection with Rule 12g3-2(b). 82__.)
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BACHOCO ANNOUNCES AGREEMENT WITH 'GRUPO LIBRA', A COMPANY IN NORTHEAST OF
MEXICO
CELAYA, Mexico, Feb. 21 /PRNewswire-FirstCall/ -- Industrias Bachoco S.A.B.
de C.V. ("Bachoco" or "the Company") (NYSE: IBA) (BMV: Bachoco B), Mexico's
leading producer and processor of poultry products, today announced that it has
reached an agreement with "Grupo Libra", a private broiler company located in
the state of Nuevo Leon in Northeast Mexico. On January 22, the company
announced that it was in the process of negotiations. The agreement establishes
a rent scheme for the facilities, which includes breeders chicken farms with a
capacity of approximately 3.0 million chickens per cycle, along with a slaughter
plant, a processing plant and distribution centers. In addition, Bachoco will
acquire all of Libra's working capital and brands.
Cristobal Mondragon, Industrias Bachoco CEO, said: "This agreement is in
line with our growth strategy to strengthen our presence in this region of the
country. We will immediately focus on the integration of this operation into the
rest of our company and take advantage of the synergies that will develop with
our northern operation located in the neighbor state of Coahuila. This will
allow us to improve flexibility and reinforce our service level in the northeast
market of the country."
The agreement will be financed with internal resources, and Bachoco will
take control of the facilities on February 26.
Company Description
Industrias Bachoco S.A. de C.V. is Mexico's leading producer and processor
of poultry products, with over 700 production and distribution facilities
throughout the country. The Company is also Mexico's second-largest producer of
table eggs. It sells swine to meat packers for the production of pork products
and is an important player in the balanced feed industry in Mexico. The Company
posted net sales of US$1.36 billion for 2005 divided among the Company's four
main product lines, as follows: 80.1% chicken and chicken- related products,
8.7% table eggs, 7.2% balanced feed, and 4.0% swine and other lines.
Industrias Bachoco's shares are listed on the Mexican Stock Exchange and its
American Depositary Shares (ADS) are listed on the New York Stock Exchange. One
ADS represents twelve B Shares. For more information, please visit Bachoco's
website at http://www.bachoco.com.mx .
This press release may contain statements which constitute forward-looking
statements within the meaning of the Private Securities Litigation Reform Act of
1995, including statements regarding the intent, belief or current expectations
of the Company, its directors, or its officers with respect to the future
operating performance of the Company. Investors are cautioned that any such
forward-looking statements are not guarantees of future performance and involve
risks and uncertainties, and that actual results may differ materially from
those in the forward-looking statements as a result of various factors.
Important factors that could cause such differences are described in the
Company's periodic filings with the Securities and Exchange Commission.
SOURCE Industrias Bachoco, S.A. de C.V.
-0- 02/21/2007
/CONTACT: Investors, Daniel Salazar F., CFO, or Claudia Cabrera, IRO,
+011-52-461-61-835-55, or inversionistas@bachoco.net, both of Industrias
Bachoco; or Rachel Levine, +1-646-284-9439, or fax, +1-646-284-9494, or
rlevine@hfgcg.com , for Industrias Bachoco/
/Web site: http://www.bachoco.com.mx /
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
Industrias Bachoco, S.A. de C.V.
(Registrant)
By /s/ Daniel Salazar Ferrer, CFO
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Daniel Salazar Ferrer, CFO
Date: February 21, 2007