Greencore bids £113m for M&S supplier Uniq
Wednesday 13 July 2011
Greencore, the UK's biggest maker of sandwiches, has agreed to acquire the convenience food supplier Uniq in a deal worth £113m, which it expects to deliver annual savings of £10m.
The Dublin-based firm is to pay 96p per Uniq share, which is a 26 per cent premium to the company's closing price on Monday. Greencore, which also makes ready meals, will fund the acquisition through a €80.2m fully-underwritten five for six rights issue at €0.46 per share and a new expanded debt facility.
Uniq delivers more than half of its revenues from supplying Marks & Spencer with food to go, mainly sandwiches and desserts.
But it faced an uncertain future due to its £400m plus pension liabilities until its pension fund acquired control of Uniq in a "pension deficit for equity" deal in February.
Greencore is keen to acquire Uniq to build scale in the convenience food market and to grow through acquiring new customers – notably with M&S. Greencore tried to merge with rival Northern Foods last year but lost out to the food tycoon Ranjit Boparan.
The Irish firm's revenues rose 11 per cent in the quarter to 1 July, but it warned trading in the UK has been "challenging and volatile during 2011".
- 4 Iranian blogger found guilty of insulting Prophet Mohammad on Facebook sentenced to death
- 5 Free U2 album: How the most generous giveaway in music history turned into a PR disaster
Stamford Hill council removes 'unacceptable' posters telling women which side of the road to walk down
Kim Kardashian 'nude pictures' leaked on 4chan weeks after Jennifer Lawrence 'The Fappening' scandal
Iranian blogger found guilty of insulting Prophet Mohammad on Facebook sentenced to death
Hitler’s former food taster reveals the horrors of the Wolf’s Lair
Jennifer Lawrence 'naked sex video' will be leaked next, threatens 4Chan celebrity photo hacker
Scottish independence referendum: A nation divided against itself
Scottish referendum results: Cross-party consensus collapses amid Tory-Labour spat on the 'English question'
Scottish independence: David Cameron is becoming the 'George Bush of Britain'
Russia freezes Ukraine into submission: Kiev admits country doesn't have enough fuel for winter
Archbishop of Canterbury admits doubts about existence of God
Plebgate MP Andrew Mitchell called officer a 'little s**t', claim court documents 'exposing ex-Chief Whip's 'record of abusing police'
iJobs Money & Business
£400 - £450 Per Day: Clearwater People Solutions Ltd: **URGENT CONTRACT ROLE**...
Up to £100k or £450p/d: Saxton Leigh: My client is a leading commodities tradi...
£320 - £330 per day: Ashdown Group: The Ashdown Group have been engaged by a l...
To £75,000 + Pension + Benefits + Bonus: Saxton Leigh: My client is looking f...