Industrias Bachoco, which earlier announced plans to delist from the New York Stock Exchange (NYSE), filed paperwork with the U.S. Securities and Exchange Commission (SEC) on April 24 to proceed with those plans.
According to a press release from the Mexico-based poultry, egg and pork company, it filed a Form 15F with the SEC with the effect of immediately suspending its Exchange Act reporting obligations. As a result, Bachoco will not file an annual report with the SEC for the fiscal year that ended on December 31, 2022.
While Bachoco is delisting in the United States, where it traded under the IBA ticker in the NYSE, it will continue to publicly trade on the Mexican Stock Exchange (Bolsa Mexicana de Valores), and will continue with those reporting obligations.
In March, Bachoco stated that at the time there was “low trading volume in the United States,” and that “the relatively low participation in the American Depositary Receipts (ADR) program and the benefits of maintaining the ADRs program against the costs related thereto” were an incentive for delisting in the United States.
In addition to having operations in Mexico, Bachoco operates O.K. Foods as its U.S. subsidiary. According to the WATTPoultry.com Top Poultry Companies Database, O.K. Foods processed 15.3 million pounds of ready-to-cook poultry on a weekly basis during the past year, making it the 16th largest broiler producer in the United States.
Bachoco is Mexico’s largest broiler producer and second-largest egg producer and ranks as the world’s ninth largest broiler producer (with O.K. Foods figures factored in) and the world’s 14th largest egg producer with a flock of 12.5 million hens.
The company diversified in 2020 into the pig industry through the acquisition of Sonora Agropecuarira.
Earlier this year, Bachoco announced the upcoming retirement of CEO Rodolfo Ramos Arvizu, and the appointment of Ernesto Salmon Castelo as his successor.
