Ranjit Singh Boparan has entered talks with the trustees of Northern Foods’ pension scheme, meaning the chicken magnate could yet launch a formal bid ahead of this week’s deadline.
The 2 Sisters owner (pictured) has until Friday (21 January) to enter a bid after he was handed a ‘put up or shut up’ order by the Takeover Panel.
Under the terms of Northern’s proposed tie-up with Irish group Greencore, the merged company will pump £15m a year into the pension scheme, which currently has a deficit of more than £140m.
Greencore and Northern spent three months in talks with the trustees before their tie-up could be agreed, according to the Daily Telegraph.
If Boparan fails to come up with a bid before the deadline, the merger – which will create an Anglo-Irish giant called Essenta Foods – is set to complete in the second quarter of this year.
Read more
Heston’s puddings help Northern to third-quarter growth (13 January 2011)
Boparan told to put up or shut up over Northern bid (5 January 2011)
Daily Bread: Sisters, suitors and underwhelming surprises (5 January 2011)
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