European Bakery Group, a recently-formed private-label business in the food and beverage industry, has acquired Panelto Foods, a bakery based in Ireland. The financial details of the deal were not disclosed.
European Bakery Group was established in May through the merger of Dutch Bakery and Germany’s Coolback. Dutch Bakery, previously owned by UK private-equity and venture-capital firm 3i Group since 2021, now falls under the ownership of European Bakery Group.
Headquartered in Longford, Ireland, Panelto Foods will join the group and serve as the UK and Ireland platform for the newly-formed bakery business, as confirmed by 3i.
Panelto Foods, founded in 2004, specializes in the production of frozen bake-off breads and manufactures over 5 million bread products per week. The company operates two bakeries with three production lines and employs approximately 300 people.
In May, Panelto Foods secured a deal with major retailer Lidl worth around €22m ($24m). This agreement will enable their baked bread to be sold in Lidl stores across Ireland and the UK, totaling over 950 stores.
Brian O’Grady, CEO of Panelto Foods, expressed enthusiasm about the acquisition, stating, “Together, we will be able to reach new markets, capitalize further on growth opportunities within the UK, Ireland, and Europe, and benefit from the size and scale of the combined platform.”
Raoul Vorage, CEO of the European Bakery Group, described Panelto Foods as an “excellent fit,” with complementary products and geographic presence.
Partnering with Panelto Foods aligns with the international growth strategy of European Bakery Group, according to Vorage. Bastiaan Peer, Partner at 3i, noted that through the acquisition of Panelto Foods, the Group expands its footprint, diversifies its customer base, and strengthens the platform for continued organic and inorganic growth.
