OFT demands sale of Fray Bentos

Premier Foods and its rival Princes have agreed to sell the Fray Bentos tinned pies brand to answer competition concerns connected to Premier's plans to sell its canned foods business to Princes in a £182m deal.

The Office of Fair Trading (OFT) said the deal could have led to concerns about the supply of tinned pies because Princes already sells canned pies under its own brand name, and Premier does the same under the Fray Bentos label.

To assuage the OFT's fears, the companies have agreed to sell the Fray Bentos brand and some manufacturing assets.