A Phase 1 investigation by the CMA found that the deal could result in a substantial lessening of competition in the supply of own-label chilled sauces – such as pasta and stir-fry sauces.
To resolve the CMA’s concerns, the businesses have offered to sell Greencore’s only chilled sauce and soups manufacturing plant in Bristol. Greencore said it is currently engaged with a number of prospective purchasers. The Bristol site and its related business generated revenues of approximately £47m in the year ended 26 September 2025.
The CMA said it believes this could resolve the competition concerns and will consult on the composition of the remedies package and the potential purchaser in “due course.”
Dalton Philips, CEO of Greencore, said: “The CMA’s acceptance in principle of the remedy is really good news and means we can now look to complete the Bakkavor deal in early 2026.
“In parallel, our focus is on finding the right new owner for our Bristol business. It’s been great to see such strong interest shown in what is a fantastic chilled soups and sauces operation, and I’m highly confident we’ll get a good outcome here.“
He added: “Looking further ahead, I’m extremely excited about what’s to come. Working with brilliant colleagues across Greencore and Bakkavor, we’ve got a huge opportunity to create real value – for our customers and consumers, our colleagues and our shareholders. Both teams are already collaborating really well on integration plans, and we’ll be ready to hit the ground running once the deal completes in early 2026."
Mike Edwards, CEO of Bakkavor, said the news from the CMA gives “greater certainty.”
“Our integration plans are well progressed, and we will continue to work collaboratively with Greencore to ensure a quick and smooth transition following completion,” he said.
“With everything starting to feel very real, we are even more excited about bringing together our two complementary businesses and the best people in the industry. Together, the combined group’s scale will enable us to create even more opportunities for colleagues, deliver even better quality, service and innovation for our customers, and generate value for our shareholders.”
Joel Bamford, Executive Director of Mergers at the CMA, said: “The cost of our weekly shop matters to us all, so we must take decisions that ensure there is effective competition helping to keep product prices as low as possible on supermarket shelves. Our assessment found Greencore’s deal to buy Bakkavor could raise prices at the till.
“Following close engagement with Greencore and Bakkavor we’ve secured remedies which we believe have the potential to address our competition concerns – so we have accepted the remedies in principle today and will now work to towards a final resolution.”
The proposed £1.2 billion acquisition would see Bakkavor purchase Greencore to create to a convenience food business with a combined revenue of close to £4.
The CMA had no other concerns in other areas of the business such as own label Italian chilled ready meals or its salad business.
