Presto, a member of the publicly listed Agostini’s group, has acquired the retail outlets of the 14 locations of Linda’s Bakery, sources close to the transaction told the Business Guardian.
This means that Linda’s non-retail assets, which include its manufacturing plant located at El Socorro, and its distribution segment, still belong to the shareholders of the Trotters Group, Mouttet Capital and Bagelry Ltd.
The deal was signed and sealed last month, and the official handover is expected to take place on April 29.
What customers would see over the coming weeks is the signage of both Presto and Linda’s plastered on the 14 locations.
In an interview with the Business Guardian on Monday, Presto’s business development director, Jean-Luc Mouttet, going into detail about how the retail business of Linda’s Bakery was acquired, said he was always looking for avenues to expand the Presto brand - ever since it opened its doors in 2016.
Mouttet said knowing the success of Linda’s Bakery products at the two Presto Market stores at Tumpuna Road, Arima, and Trincity Plaza and their strong reputation, approaching them was almost automatic to achieve this strategic objective.
“As two brands, our values are the same - bringing quality products and service to our customers. Now, through this physical integration of both stores, we are better positioned to provide a seamless shopping experience, offering value and a diverse selection of high-quality products, including freshly baked bread, pastries, fresh-to-go meals, fruit and veggie cups and in some locations, staple grocery items,” he disclosed.
Asked how much was paid for the acquisition of the retail stores, Moutett, who did not divulge the figure, only said, “The price offered and accepted was fair and in keeping with the strong reputation of the Linda’s Bakery brand.”
On what this deal means for the customers of both companies, the business development director said they can now get the signature Linda’s pies and pastry exclusively at these ‘Presto Fresh’ stores - now on a wider scale, along with select additional offerings from Presto.
Questioned on whether there are plans for product enhancements of Presto’s grab-and-go meals, along the lines of Aioli Marketplace, Mouttet indicated he did not want to let trade secrets out too early. He added that Presto pioneered the availability of a wide assortment of fresh-to-go meals to the market - seen today at many SuperPharm stores.
“Everyone is now expanding into fresh-to-go meals as the ‘convenience’ business model to capture customers widens. Presto Fresh will offer the signature Linda’s Bakery freshly baked bread, pies, and pastries and in time, we will add to the range of fresh-to-go meals and convenient fresh produce among other select items,” Moutet said.
As the landscape of business especially, in the food industry is changing, due to the pandemic crime, inflation, and an increase in raw material costs, more food courts are popping up. Asked if these factors can affect Presto’s grab-and-go business, he highlighted that many establishments are now widening their offerings to add more ‘convenience’ to the busier lifestyles of people.
“We have customers coming into our Presto Market stores up to 11 pm because they feel safe and secure to fulfill their needs. This will be translated into all our Presto Fresh stores, without a doubt. We have customers coming to us at the Presto Market locations in the East from throughout the island, and we want to assure them that the quality and safety to which they have been accustomed will also be at the Presto Fresh locations in their neighbourhoods as well. Plus, this limits the need to stay too long to get what you need and being on the road as well,” said Mouttet.
Asked whether the bakery business is still a viable, Moutett chuckled, before asking, “How many times a week do you bake bread? Exactly! But again, at Presto, we are always seeking ways to make the busy lives of our customers easier, so they can spend time on what matters. This progression is aligned to that ideology and what we have seen and heard from our customers is the need for added convenience and that one-stop-shop, so they don’t have to be stopping at multiple places for longer periods for a few items.”
About the feedback Presto has been getting about the expansion since the news was released, the business executive said it has been very positive thus far and customers are looking forward to the additional range of fresh-to-go meals as healthy options to fast food at Presto Fresh as well as the new lines to come.
In running a business, especially at various locations throughout the country, no one can turn a blind eye to the crime situation, Moutett said rapid response and other initiatives are in place to ensure the safety of its employees and customers.
Stragtetic move for Linda’s retail stores
Also speaking to Business Guardian on the move, Linda’s Bakery general manager, Alicia Viera-Mohammed said it was not just another business transaction, as it was a strategic move, where both entities came together to serve their customers better.
“We are operating in a very rigid business environment, where we see the closure of restaurants, so businesses are suffering. What you are seeing is corporate entities partnering, as it is the most viable option, in making sure that your customers do not suffer and the product that you put out remains of high quality.
“This transaction is geared towards ensuring that the customers get what they pay for. Presto has experience in the convenience business and managing the stores and Linda’s has experience in the manufacturing department,” Viera-Mohammed outlined.
Asked if all of Linda’s retail staff were being absorbed under the new agreement, the general manager said “yes.” The bakery has over 200 workers and everyone has been retained.
With this new shift, she said the establishment met with the managers who informed the workers.
“Initially they were sad and surprised, but as we had the conversation with them and related to them, how is this going to benefit you? How is it going to benefit the stores and how is it going to benefit its customers? At some point during those conversations, they did acknowledge what the opportunities were. Everyone came out of the meeting in a better frame of mind,” Viera-Mohammed said.
She identified that Linda’s bread is now expanding into Chinese supermarkets, mini marts, and pharmacies.
“We are expanding our bread distribution, to ensure every consumer has the option to choose,” she added.