ABP Foods proposal to take joint control of Linden Foods is under examination by EU commission competition authorities. The deal, which would see ABP Food Group increase their stakes in Linden Foods, is under examination by the European Commission’s competition authority.
The move comes months after ABP Food Group and their partner Fane Valley broadcast their plans to up their stake in Linden Foods to 50%. UK meat Processor, Fane Valley, and ABP had agreed in principle a deal to purchase increased shares in Linden Foods.
The deal though was subject to approval by regulatory and competition authorities. The European Commission say they were recently notified of ABP’s plans and say they are looking into the specifics of the deal.
At the moment ABP holds just over 12% of Linden Foods Limited shares, they now aim to increase that by a further 37.7%. This would see ABP Food Group and Fane Valley in joint control of the UK based company.
If approved by the competition authority the company will trade as Linden Foods in the future, while they would also keep the current management team in place. Upon early examination the Commission have warned that the deal could come under Merger regulation. No date has yet been given of a final decision being made.
Linden foods is located in County Tyrone in Northern Ireland and are part of a group which includes other major processors Slaney Foods, Irish Country Meats, Kettyle Irish Foods and Lonhienne. The company also holds organic beef and lamb certification.