Speculation over 2 Sisters’ potential sale of Fox’s

Similar rumours have cropped up over the years because the branded biscuit division differs from 2 Sisters’ core businesses of poultry and ready meals.

Investment bank Rothschild has reached out to potential buyers on behalf of Boparan Holdings, according to sources cited by the Wall Street Journal​.

Limited number of buyers​

FoodManufacture.co.uk understands that bankers have sounded out a limited number of buyers, but there was no widespread search for potential buyers.

2 Sisters bought Fox’s Biscuits – known for Crunch Creams, Party Rings and assortment tins – as part of its acquisition of Northern Foods in 2011.

In 2014, news reports claimed that the owners of Burton’s Biscuit Company had made a preliminary approach to 2 Sisters​ over buying Fox’s Biscuits.

‘Outside the comfort zone’​

“The branded business 2 Sisters acquired is not necessarily core and is outside the comfort zone of the group,”​ one analyst told FoodManufacture.co.uk at the time.

“If they were going to sell anything, selling Fox’s would make sense.”​

Fox’s Biscuits appears to be performing well at present and 2 Sisters’ branded division saw like-for-like sales up 0.2%​ to £101.3M in the 13 weeks to October 31 2015.

Last month the company said: “​Our investments in quality and marketing at Fox’s Biscuits have helped us deliver a strong performance in biscuits, despite a competitive environment, with sales up substantially over the quarter.”​

A 2 Sisters spokesman said the company did not comment on speculation or market rumours. Rothschild also declined to comment.