Stock Groups

Subsidiary of Mexico’s Femsa agrees to acquire U.S. distributor Sigma Supply -Breaking

by Mike Robinson

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© Reuters. FILEPHOTO: This is the logo of Mexico’s Coca-Cola FEMSA. It’s the largest Coke producer in the world. The image was taken at their headquarters in Monterrey (Mexico) on August 19, 2018. Picture taken August 19, 2018. REUTERS/Daniel Becerril

MEXICO CITY (Reuters), – Mexican retailer FEMSA and Mexican bottler, FEMSA announced Tuesday that Envoy Solutions, its U.S. affiliate, had reached an agreement with Sigma Supply to buy the distributor for an undisclosed sum.

FEMSA stated that the acquisition was “another step in its strategy” to create a US distribution platform. According to FEMSA, the transaction will close within the second quarter.

The Mexican company, Sigma Supply, stated in an filing to the local stock exchange that Sigma Supply “will add important capabilities in distribution of packaging material, solutions and service and expand Envoy?s presence” in Texas.

FEMSA stated that Sigma Supply has 18 distribution centers, and sales of $370 millions in 2021.

Report by Adriana Barrera. Writing by Valentine Hilaire. Editing by Bernard Orr.

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