BGF exits bakery group St Pierre Groupe for 9.6x return

Grupo Bimbo has bought the group, with BGF generating an IRR of 85%.

  • BGF first backed St Pierre Groupe with an £8 million investment in November 2018
  • During BFG’s investment St Pierre expanded in the US, which now constitutes approximately 50% of annual sales revenue
  • St Pierre’s products are stocked in over 35,000 retail and wholesale stores worldwide

BGF announced on Friday that it has exited bakery group St Pierre Groupe to Grupo Bimbo for a 9.6x return and an IRR of 85 percent. BGF originally backed the group with an £8 million ($9 million; €9 million) investment in November 2018.

During BGF’s investment period, St Pierre scaled its operations internationally, including an expansion programme in the US, which now constitutes approximately 50 percent of the annual sales revenue.

St Pierre Groupe also secured listings with retailers in the UK and US, as well as expanding its product range across multiple categories, which led revenues to increase from £69 million in 2018 to £111.5 million in 2021. The overall headcount of the business has more than doubled during this time, with the company employing over 70 people today.

St Pierre is headquartered in Manchester and was founded in 1986. It is a specialist brand supplier to the bakery industry and the company provides a range of products under three brands: St Pierre, Baker Street and Paul Hollywood. Its products are stocked in over 35,000 retail and wholesale stores worldwide, as well as online in the UK, US, Europe and the Middle East.

The buyer, Grupo Bimbo, is headquartered in Mexico City and a baked goods and snacking company.

BGF was established in 2011 and is a London-based investment company that provides growth capital for small and medium-sized businesses in the UK and Ireland.

It made another exit earlier in October, from Northern Irish kitchen doors and equipment manufacturer Uform.