Ownership of Minsterley will transfer to Müller while the co-packing arrangement for Cadbury chilled desserts will end.
The disposal is expected to completed by the start of January 2013. By that time Greencore will have completed the transfer of production of Greencore’s other premium desserts and related manufacturing equipment to its Evercreech site.
“This would conclude the restructuring of the chilled desserts business, which Greencore acquired from Uniq in September 2011,” said a statement from the firm.
City analyst Investec described the sums involved as “negligible”, which would have “no real bearing on the P&L or balance sheet”.
Relatively clean end
But the deal “should mark the satisfactory and relatively clean end to the Uniq desserts saga,” said Investec’s Nicola Mallard.
Greencore’s co-packing arrangement with Muller for the manufacture of Cadbury branded desserts represented about £25M of turnover, but no material profit, she added.
The group will maintain about £50M of profitable desserts business for a key customer, all of which will be undertaken at Evercreech, said Mallard.
Investec maintained its buy recommendation on an unchanged target price of 90p. “This stock has been outperforming the industry on revenue and profit growth in a difficult grocery market, and has also managed the inflationary climate with little impact on margins,” she said.
Meanwhile, Premier Foods has sold its vinegar and pickles business to the Japanese firm Mizkan for £41M.
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