6th Apr 2016 15:33
LONDON (Alliance News) - Premier Foods PLC Wednesday said it held "constructive" discussions with US spice and herbs giant McCormick & Co Inc, which is looking to acquire the London-listed food company.
Last week, McCormick tabled a third offer, at 65.00 pence per share, for Premier Foods, after previous bids of 52.00p and 60.00p were rejected.
The latest offer valued the maker of of Mr Kipling cakes and Bisto gravy at GBP536.7 million, still considerably higher than Premier Food's market capitalisation GBP471.1 million on Wednesday afternoon.
On Wednesday, Premier Foods said it is scheduled to meet its main institutional investors shortly to provide them with further insight about the company's new strategic initiatives and to "engage with them more generally."
Premier Foods said its talks with McCormick covered its business, strategic initiatives and pension plans.
"The discussions between McCormick, Premier and their respective advisers have been constructive," said Premier Foods on Wednesday afternoon.
Premier Foods shares were trading up 4.6% at 58.07 pence per share on Wednesday afternoon.
By Joshua Warner; [email protected]; @JoshAlliance
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