Watchdog clears takeover of Shropshire dairy parent

THE takeover of UK chilled food group Uniq – which has a large operation in Shropshire – by Irish food group Greencore has been cleared by the Irish Competition Authority.

In a statement today, the ICA said: “The authority has formed the view that the proposed transaction will not lead to a substantial lessening of competition in any markets for goods or services in the State.”

Up to 400 jobs are under threat at Uniq’s chilled desserts factory in Minsterley and union leaders have laid the blame for the losses on the Greencore takeover.

Jennie Formby, Unite’s national officer for the food and drink sector, said: “We are very concerned these job losses have been announced just days before Uniq is taken over by Greencore and it is difficult to believe these two events are not linked.”

The union has vowed to fight the job losses.

Uniq said the redundancies followed a strategic review of its operations which had concluded its best long term interests lay in a focus on higher margin premium desserts and its Muller/Cadbury desserts businesses and to exit its loss making everyday desserts business.

“This will result in the transfer of certain selected premium desserts sales from Uniq’s Minsterley site to its Evercreech site and the cessation of production at Uniq’s everyday desserts business unit at Minsterley in the first half of 2012, with the loss of approximately 350 jobs,” it said in a statement.

In July, Uniq announced its withdrawal from the premium differentiated yogurt market after April 2012. The operation is worth around £13m.

Earlier this year Greencore lost out to West Bromwich entrepreneur Ranjit Boparan in its attempt to secure Northern Foods.

Its takeover of Uniq is set to be completed next month. It already has approval for its offer from 98% of Uniq shareholders and its offer remains open until the end of August.