George Weston Ltd. is hunting for a buyer for its 139-year-old Weston Foods bakery division, marking a strategic pivot that will also trigger a cascade of management changes.

In a release early Tuesday, the Toronto-based conglomerate announced it launched a process to divest its bakery unit after a strategic review conducted by its board of governors.

Weston Foods owns some of Canada’s best known bread brands, including ACE Bakery, D'Italiano, Wonder, and Country Harvest. It generated $2.1 billion in sales in 2020 and delivered $200 million in adjusted EBITDA.

George Weston said in its release that it will continue to support its workforce during the sale process and that it expects eventual proceeds from the process will go toward share repurchases.

Houlihan Lokey and CIBC Capital Markets have been retained by George Weston to steer the sale of the bakery unit.

“As George Weston focuses its attention on Loblaw and Choice Properties, we are confident this is the right time to unlock the strategic growth potential that exists within Weston Foods through its sale,” said George Weston Chair and Chief Executive Officer Galen G. Weston in a release. 

It was also announced Tuesday that Weston will re-assume the role of president at Loblaw Companies Ltd. while remaining the supermarket operator’s chairman, as a result of Sarah Davis’s decision to retire from the job on May 6.

“In light of George Weston's strategic decision to focus on retail and real estate which was announced today, Sarah and I agreed that now is the right time for her to pursue her plans for an early retirement, which she first shared with me upon becoming President in 2017,” said Weston, who previously handled the roles of chairman and president for Loblaw from 2014 to 2017.

Loblaw also announced a pair of other management changes Tuesday. Richard Dufresne, the president and chief financial officer of George Weston, will also become CFO of Loblaw as a result of the Darren Myers’ plan to leave the company. Meanwhile, Canadian retail industry veteran Robert Sawyer, who serves as a director on George Weston’s board, will become chief operating officer for Loblaw in May.