METRO Inc. Enters Into Strategic Partnership With FGF Brands For Commercial Bakery Manufacturing Operations

MONTRÉAL — METRO Inc. and FGF Brands (FGF), a Canadian bakery operator, announced a strategic partnership for the commercial bakery manufacturing operations of Première Moisson Group Inc., a subsidiary of METRO. As part of the transaction, FGF will acquire Première Moisson Group’s production facility located in Baie-D’Urfé for a total consideration of $90 million. This transaction reflects METRO’s attempts at focusing its investments and resources on food and pharmaceutical retail and distribution operations.

Upon closing of the transaction, FGF will reportedly manufacture and distribute Première Moisson products sold in food stores. This agreement will allow METRO to continue offering Première Moisson products to customers throughout its Québec and Ontario food store network while also leveraging FGF’s manufacturing background.

Première Moisson Group will reportedly remain a subsidiary of METRO and will retain ownership of the Première Moisson brand, its network of 25 retail bakeries across Québec, its in-store production operations, and its French pastry production facility in Vaudreuil-Dorion.

According to a press release from METRO Inc., the agreement with FGF provides for the continued production and manufacturing of all Première Moisson products. All impacted employees will reportedly be transferred to FGF upon closing of the transaction; METRO and FGF also state that they will work with the union representing unionized employees as part of the transition.

“This transaction is consistent with our focus on our core food and pharmaceutical retail and distribution activities, while preserving the strength of the Première Moisson brand. By partnering with a company recognized for its manufacturing expertise, we will continue to offer customers the Première Moisson products they enjoy while benefiting from enhanced innovation, product development capabilities and a more efficient operating structure.” said Marc Giroux, Chief Operating Officer, METRO.

“We are pleased to bring our baking expertise to METRO and in particular to Première Moisson, a brand renowned for the quality of its products and craftsmanship. This partnership allows us to leverage our manufacturing and innovation capabilities to support the growth of Première Moisson’s grocery offering while continuing to provide consumers with high-quality products,” said Ojus Ajmera and Tejus Ajmera, Co-Chief Executive Officers and Co-Founders of FGF.

The transaction is subject to customary closing conditions for transactions of this nature. The company also states that it is expected to close during METRO Inc.’s fourth quarter of fiscal 2026, which ends on September 26, 2026.