This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/6205366.stm
The article has changed 10 times. There is an RSS feed of changes available.
| Version 1 | Version 2 |
|---|---|
| Branston firm's £1.2bn Oxo buyout | Branston firm's £1.2bn Oxo buyout |
| (30 minutes later) | |
| Premier Foods, the owner of brands such as Branston sauces and Ambrosia Creamed Rice, has agreed to buy rival RHM for £1.2bn to become the top UK food firm. | |
| RHM's board has approved the deal that will bring together names such as Hovis bread, Mr Kipling cakes and Oxo gravy. | RHM's board has approved the deal that will bring together names such as Hovis bread, Mr Kipling cakes and Oxo gravy. |
| The merged company will have annual sales of £2.6bn, with 93% of those revenues coming from the UK. | The merged company will have annual sales of £2.6bn, with 93% of those revenues coming from the UK. |
| Premier will pay a mixture of cash and new shares in a deal that values RHM stock 30% higher than its Friday close. | Premier will pay a mixture of cash and new shares in a deal that values RHM stock 30% higher than its Friday close. |
| Shares soar | |
| News of the deal sent shares in both companies up sharply. | |
| This acquisition provides a unique opportunity to combine two of the UK's leading food companies David Kappler, Premier Foods chairman See Premier Foods shares | |
| RHM shares soared 35% in early trading while Premier's shares rose 8%. | |
| Premier said it would pay one new share and 83.2 pence in cash for each RHM share, working out at about 352.45p for each RHM share. | |
| The purchase still needs to be approved by shareholders of both companies. | |
| "This acquisition provides a unique opportunity to combine two of the UK's leading food companies," Premier chairman David Kappler said. |