Campbell Soup in bid for United Biscuits

The US food giant would only be bidding for the biscuit manufacturing operation of United Biscuits, leaving the snacks arm to other bidders. This partial acquisition would be consistent with earlier reports indicating that the private equity owners of United Biscuits were looking to sell the two parts of the business separately, with a £2bn overall price tag.

Campbell Soup Company is understood to have hired US investment bank Centerview Partners as advisers on the sale. It is likely to face competition from other food giants such as Pepsico, Kraft and Kellogg.

Blackstone and PAI Partners acquired United Biscuits in 2006, winning the auction for a £1.6bn secondary buyout from Cinven and MidOcean Partners. Founded in 1948, the company owns several popular brands such as McVitie's, The Real McCoy's crisps and KP Nuts.

Despite the downturn, United Biscuits saw its turnover grow by 5% to £1.26bn and its EBITDA by 13.7% to £223m in 2009. However, its debt amounts to £1.2bn and its pension scheme went for a surplus of £63m to a £111m deficit, according to the company's annual report.

The unquote" team is currently researching this transaction. In-depth deal information for subscribers will follow shortly.

If you have any information regarding this transaction, please contact Grégoire Gille on +44 20 7484 9824 or gregoire.gille@incisivemedia.com

 

 

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• Topics
• UK / Ireland
• Exits
• Consumer
• PAI Partners
• Blackstone Group
• Trade sale
• Partial sale