McCain expands in Brazil with Sérya stake
Canada-headquartered McCain is the largest manufacturer of frozen French fries in the world. It announced the acquisition last week.
Located in Araxá, in the state of Minas Gerais, Brazil’s main potato-growing region, Sérya has an annual production capacity of 10,000 tons for its pre-formed potato products.
Aluizo Neto, managing director of McCain in Brazil said: “Brazil currently reports as the fifth largest market in the world for frozen French fries, with broad potential to become the third largest market by 2021.”
“This investment allows McCain to focus more efforts on local development of high value-added products and in line with our leadership strategy in the potatoes and appetizers market,” added Neto, who will now head Sérya’s operations.
Sérya’s remaining shares are held by Forno de Minas, a Brazilian manufacturer of cheese bread. Last year (March 2018), McCain acquired a 49% stake of Forno de Minas.
According to Reuters, McCain’s Brazilian subsidiary, McCain do Brasil Alimentos, received a US$15 million capital from its parent company to secure the deal.
Citing an unnamed source familiar with McCain’s operations in Brazil, it reported that McCain plans to buy the remaining stake in Forno de Minas within the next five years.
McCain Foods employees 21,000 people globally and has 52 factories around the world.
