Premier Foods today (18 November) confirmed that it has rejected an approach from rival UK food group United Biscuits for its Mr Kipling brand.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more


Speaking to just-food, a spokesperson for the company said that Premier received a GBP250m (US$370.2m) offer for the brand.


However, Premier chief executive Robert Schofield rebuffed the bid from the private equity-owned UB.


With GBP1.7bn of debt, Premier is coming under increasing pressure to improve its balance sheet.


In a trading update released this morning, Premier said that it has secured a new lending deal with its backers while discussions with its lenders on reducing debt levels remain ongoing. However, the company also announced that it would suspend dividend payments until debt is reduced.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

“The board has determined not to pay the 2008 interim dividend and will consider the future dividend policy as part of the long term capital structure review but it is the board’s intention to resume dividend payments when debt levels permit,” Premier chairman David Kappler said.
 
It is understood that UB is now mulling the option of approaching banks or shareholders with an offer directly. The company was unavailable for comment as just-food went to press.