Food group takeover in CMA spotlight

The Competition and Markets Authority is investigating the anticipated acquisition by Hain Frozen Foods UK of soup-maker Yorkshire Provender.

The preliminary investigation is open for comment until 22 March, by which time the CMA will have decided whether to place sanctions on the merger.

It said it would consider whether the merger would result in a “substantial lessening of competition” within the found groups’ markets.

The US food giant announced it would be acquiring the Northallerton-based soup manufacturer back in February 2017.

Nasdaq-listed Hain is behind brands including Ella’s Kitchen, Linda McCartney and Sun-Pat. It is looking to acquire the Yorkshire manufacturer, which was founded in 2007, and returned net sales of £6m last year.

Hain already owns several brands in the UK soup market including New Covent Garden Soup Co.and Cully & Sully.

If the merger goes ahead Provender will continue to be based in Yorkshire.