No recommendation
No news or research item is a personal recommendation to deal. Hargreaves Lansdown may not share ShareCast's (powered by Digital Look) views.
(Sharecast News) - UK watchdog the Competition and Markets Authority has concluded its Phase 1 investigation into Greencore's proposed acquisition of Bakkavor, finding no competition concerns across the vast majority of the combined businesses.
The review, which began on 1 September, assessed the potential impact of the transaction on competition across multiple product categories. In its decision, the CMA confirmed that approximately 99% of the combined group's revenues do not raise any competition issues.
However, the CMA identified a potential concern in one specific area - the supply of own-label chilled sauces in the UK - noting that there may be a realistic prospect of a substantial lessening of competition in this segment.
Greencore now has the opportunity to offer remedies to address this concern and avoid a more detailed Phase 2 investigation, with both Greencore and Bakkavor stating they were engaging constructively with the CMA and remain confident in securing final clearance.
The companies reiterated their expectation that the transaction will complete in early 2026, in line with previous guidance.
As of 0810 GMT, Bakkavor shares were up 0.44% at 229p, while Greencore shares were flat at 248p.
Reporting by Iain Gilbert at Sharecast.com
The value of investments can go down in value as well as up, so you could get back less than you invest. It is therefore important that you understand the risks and commitments. This website is not personal advice based on your circumstances. So you can make informed decisions for yourself we aim to provide you with the best information, best service and best prices. If you are unsure about the suitability of an investment please contact us for advice.