Northern Foods favours Greencore

NORTHERN FOODS, the British maker of Fox’s biscuits and Goodfellas pizzas, said a merger with Greencore Plc remains the compelling option for the group.

Acting chief executive Simon Herrick said, however, the board would have to consider a rival bid from Ranjit Boporan if it emerged. Price would determine whether the board would feel obliged to put the offer to shareholders for ratification.

He stressed the company had legal obligations to act in the best interests of shareholders and the business. Boporan has until January 21 to make an offer that could leave the merger with Greencore dead in the water.