CMA clears £1.2BN Greencore-Bakkavor deal

The CMA has agreed that the move to sell the Bristol site has offered an appropriate remedy to its competition concerns as a result of the merger.

This follows the UK competition watchdog flagging concerns last month over the deal potentially leading to the substantial lessening of competition for own-label chilled sauces (e.g. pasta sauces and stir fry sauces).

Today’s (17 December 2025) approval from CMA means the two companies will not be required to proceed to a second phase which would have required a more in-depth review of the businesses and impact of the deal.

The Compleat Food Group is set to snap up the soup and sauces site from Greencore after it entered into a legally binding agreement on 14 November with the manufacturer to acquire the facility. The sale had been conditional, depending on CMA approval.

Now, Greencore one month to divest the business, or two weeks from competition of the acquisition - whichever is earlier.

In the meantime, Greencore must keep the business completely separate from its existing operations, retain its competitive position and avoid any loss of value. The range and quality of goods supplied by each business must also be preserved and maintained, alongside all assets.

Moreover, no substantive changes can made to the organisational structure of, or the management responsibilities within, the Bristol site team or Greencore business.

Greencore (or any member of the business’s group) will be forbidden to require an interest in the divestment business, influence the strategy, or appoint any senior member (for as long as they are connected to the business), without prior approval from the CMA.

According to Halifax, Greencore Group shares rose by 1.41% this morning (8:47am GMT) to 252.5p, while Bakkavor Group saw an increase 0.21% at 235p.

Greencore and Bakkavor have set out the following timetable for the transaction: