Bakkavör Group acquires a 45% share in Hong Kong's leading producer of premium bakery and pastry products

Reykjavik, 28 April 2008, Bakkavör Group has acquired a 45% share in Hong
Kong's leading producer of premium bakery and pastry products, La Rose Noire,
with a call option to acquire an additional 45% share in 2010 and a 90% share
in the company's Chinese operation in 2011. The consideration price, which
remains confidential, was financed by Mizuho Corporate Bank Limited. 

La Rose Noire specialises in supplying retailers and food service companies in
Hong Kong and across China with high-quality bakery and pastry products as well
as exporting a range of its products to New Zealand, Thailand, India, the USA
and Dubai. The Company was founded in Hong Kong in 1991 as a retail patisserie
and subsequently opened a factory in 1994. In 2004, La Rose Noire expanded its
operations with the opening of a factory in southern China. Today, La Rose
Noire employs approximately 250 people in Hong Kong and 220 in China. In 2007,
the turnover of the Company amounted to US$12 million in Hong Kong and to US$4
million in China. 

La Rose Noire will be accounted for as an associate company from the
acquisition date. The acquisition will not have a material effect on the
Group's financial results. 

Ágúst Gudmundsson, CEO:

“I am pleased to announce our second investment in Hong Kong this year. La Rose
Noire is a strong business with an excellent management team that has over 16
years experience in the food industry in Hong Kong. This investment further
strengthens our presence in the region, broadens our product portfolio and will
also be an excellent platform for further growth and expansion into other Asian
countries in the near future.” 

Further Information:

Ágúst Gudmundsson, CEO
Tel: +354 550 9700

Ásdís Pétursdóttir, IR
Tel: +354 858 9715


About Bakkavör Group

Bakkavör Group is a leading international food manufacturing company
specialising in fresh prepared foods and produce. The Group operates 63
factories and employs around 20,000 people in 10 countries. The Group's Head
Office is in Reykjavík, Iceland, and the business is listed on the OMX Nordic
Exchange in Iceland. (Ticker: BAKK). 

The Group's vision is to be recognised and respected as the world's leading
fresh prepared foods and produce provider. Bakkavör Group has attained leading
market positions in its key market areas. In total, the Group makes over 6,000
products in 18 product categories, which are developed and sold predominantly
under its customers' own brands. In addition to the UK and Iceland, the Group
also has business operations in France, Belgium,Italy, Spain, South Africa,
China, the Czech Republic and the United States. 

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