British regulators approve Greencore’s £1.2B acquisition of Bakkavor
Key takeaways
- Greencore’s £1.2 billion (US$1.53 billion) Bakkavor acquisition completes on January 16, 2026, following regulatory approval.
- The combined group will have £4 billion (US$5.11 billion) revenue, merging complementary food-to-go and prepared meal portfolios.
- Consumer demand grows for clean labels and authenticity in the ready meals market, Innova data shows.
Major British F&B supplier Greencore has announced it will complete its £1.2 billion (US$1.53 billion) acquisition of Bakkavor in January 2026, following regulatory approval from the UK Competition and Markets Authority.
The deal combines Greencore’s “food for now” portfolio with Bakkavor’s “food for later” offerings to create a business with combined revenue of approximately £4 billion (US$5.11 billion). Upon completion, Greencore shareholders are expected to own approximately 56% of the combined group, with Bakkavor shareholders holding approximately 44%.
Under the transaction terms agreed in May, Bakkavor shareholders will receive 0.604 new Greencore shares and 85 pence (US$1.09) in cash per share, valuing each Bakkavor share at 200 pence (US$2.56). Bakkavor shareholders will also receive a final dividend of 4.8 pence (6.1 cents) per share on May 28, 2025.
Ready meal moves
The merger comes as the global ready meals market continues evolving. Innova Market Insights research shows approximately 40% of global consumers point to local ingredients, familiar flavor profiles, and traditional cooking techniques as the most important elements in prepared foods.
Consumer demand for transparency is growing, with 26% of consumers saying real ingredients and natural claims most influence their purchasing decisions for ready meals, according to the market researcher.
Innova’s US-focused analysis identifies a bifurcation in the ready meals category into premium lifestyle products offering restaurant quality and clean labels alongside utilitarian budget options for time-pressed, price-sensitive households.
The research also highlights that ready meals and sides making plant-based or vegan claims grew 8% annually between 2020 and 2023.
