Boparan ups stake holding in Northern Foods

NORTHERN Foods suitor and West Bromwich entrepreneur Ranjit Boparan has raised his stake in the company he is trying to buy to 11.4%.

The Harry Ramsden owner has bought 22.4m shares, taking his overall holding in Leeds-based Northern Foods to 53.3m shares.

In a statement, Boparan Holdings stressed the cash nature of the 73p per share bid it had tabled, seen by analysts as the main obstacle for rival Greencore if it decides to try and resurrect its merger deal with Northern Foods.

Greencore’s offer is share-based and values the company at around 50p per share although it also promises savings of £40m in synergies produced by the merger.

• Latest Northern Foods share price and historic data – click here

Northern Foods shareholders are waiting to see if Greencore ups its bid after Boparan’s 11th hour £342m offer on Friday night.

Shares in Northern Foods, which were trading at around 60p last week, closed last night at 74p.