Grupo Herdez successfully issues ps. 1 billion in local bonds

Mexico City, Mexico, November 10, 2014 – Grupo Herdez, S.A.B. de C.V. (“Grupo Herdez” or the “Company”) (MSE: HERDEZ, OTC: GUZBY) today announced the successful issue of Ps. 1 billion through a long-term peso denominated bond (Certificados Bursátiles) in the Mexican Securities Market. The transaction was 3.3 times oversubscribed and was allocated among a diversified investor base.

Repayment of capital* on the bond will be paid through five (5) payments, as follows: i) the first payment will be made on November 9, 2015 for Ps. 200 million, (ii) the second payment will be made on November 7, 2016, for Ps. 200 million, (iii) the third payment will be made on November 6, 2017, for Ps. 200 million, (iv) the fourth payment will be made on November 5, 2018, for Ps. 200 million, and
(v) the fifth and final payment, for Ps. 200 million, will be made on November 4, 2019 on the maturity date.

The bond have confirmed credit ratings of “AA(mex)” from Fitch Ratings and “mxAA” from Standard and Poor’s.

Proceeds will be used to refinance the HERDEZ11 bonds maturing in February 2015 and for other corporate purposes. As a result, once the HERDEZ11 bonds are paid, the Company’s average maturity will stand at 6.2 years and will be comprised by a 44% floating / 56% fix mix of rates, consistent with Grupo Herdez’s commitment to maintain a solid and flexible financial profile.

2020

  • 2020: We launched the first edition of Semillero Nutrisa. Together with Nutrisa and the Victoria147 business academy for women, we invited women entrepreneurs to participate in a training program to improve the management of their businesses and have the potential to become part of our supply chain.

We established our first technological alliance with Google, which will allow us to accelerate the digital transformation of Grupo Herdez through the use of Google Cloud Platform tools such as BigQuery ML, Looker, among others.

Through the Herdez® brand and Aires de Campo® we joined the “Sowing a New Normality” initiative, promoted by the civil society organizations Ríos Tarango and Ectágono, which aims to increase the vegetation cover of the environmentally valuable area Barranca de Tarango.

  • 2021: We developed the Group’s second proprietary e-commerce platform, with the Nutrisa® online store.

We updated the apps through which we manage the loyalty programs of our retail brands, Cielito Querido Café® and Nutrisa®, improving our customers’ in-store experience.

During the year, 15 formulas had their nutritional profile strengthened by reducing some critical added nutrients (sugars, sodium and saturated fats).

  • 2022: We expanded our capabilities into new categories through the acquisition of Interdeli and Deli, Dips & Snacks. Integrating brands such as Libanius, Flaveur, Liguria and Señor Cactus into our portfolio.

We Issued the first sustainability bond through which we
committed to a 25% reduction in our water consumption.

Together with our partner McCormick & Company, Inc. we
brought the most iconic Mexican cuisine to the tables of the United Kingdom
through meal kits, sauces and condiments under the Herdez® brand.
  In less than a year, we obtained a 5.5% shelf
share in the Tesco supermarket chain.

We consolidated the integration of Chilim Balam® into retail brands, a leading brand in the snack segment