Belgium-based retailer Delhaize has signed a deal with Pinguin that will see the vegetable processor produce a range of frozen ready meals for the company.

Pinguin said the deal would see it invest some EUR2m (US$2.8m) to expand capacity at its site in Langemark, Belgium.

Pinguin is one of Europe's leading vegetable processors. In August, the company bought Christian Salvesen Foods, the UK's largest processor of frozen green vegetables, in a deal worth GBP17.2m (US$35.1m).