Equity firms cooking up merger plan

Some of Britain’s best- known food brands, including Bird’s custard and Ragu pasta sauce, could reportedly become culinary bedfellows under plans to create a new food giant.

Several private equity firms are looking to buy two collections of brands from Premier Foods and Symington’s and merge them under one banner, media reports said.

Premier Foods is considering the sale of Robertson’s marmalade, Angel Delight, Bird’s and Sarson’s vinegar, while Symington’s is selling Ragu, Aunt Bessie’s and rights to Campbell’s soups in Britain and Ireland.

Private equity houses, including Permira and PAI Partners, are cooking up a scheme to gather the recognised products under one umbrella.

Premier Foods, Britain’s biggest manufacturer, has been forced to sell off brands to raise money to pay off debts of nearly £1bn (€1.2bn) and plans to focus on eight “power brands” including Hovis.

Leeds-based Symington’s, which has been put up for sale by its shareholders, was founded in 1827 and supplied powdered pea soup to Captain Scott’s first Antarctic expedition in 1901.