Greencore confirms second bid for Bakkavor rejected

Published 14/03/2025, 15:02
Greencore confirms second bid for Bakkavor rejected

LONDON - Greencore Group PLC, a leading manufacturer of convenience foods, has confirmed that its revised proposal to acquire Bakkavor Group PLC was rejected by Bakkavor’s Board on Monday. This follows an initial proposal that was turned down on February 27, 2025.

The latest offer, made on March 7, included 85 pence in cash and 0.523 Greencore shares for each Bakkavor share, along with the rights to a final dividend of 4.8 pence per Bakkavor share declared on March 4. This deal valued Bakkavor at approximately £1,139 million, or 189 pence per share, representing a 25% premium over Bakkavor’s closing share price on March 13, and a 32% premium to the three-month volume-weighted average share price.

Greencore’s proposal suggested that the combined entity would hold a leading position in the UK convenience food sector with around £4 billion in revenue. The merger was expected to offer significant returns to shareholders and allow for continued investment in growth, while also providing potential synergies and enhanced capabilities for innovation.

Despite the rejection, Greencore remains open to evaluating strategic opportunities, including Bakkavor, and must declare its firm intention to make an offer by April 11, 2025, as per the City Code on Takeovers and Mergers.

This announcement, which contains inside information as per market regulations, was made following recent media speculation about Greencore’s interest in Bakkavor. The financial adviser for Greencore in this matter is Rothschild & Co.

The information provided in this article is based on a press release statement and reflects the current status of the potential acquisition, without endorsing any claims.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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