Northern Foods Receives Request For Info From Boparan

Northern Foods PLC (NFDS.LN) said Wednesday that it had received a letter from Boparan Holdings Ltd., headed by a British chicken tycoon, requesting access to information about the company, although an offer hadn't been made and Boparan's intentions were unclear.

The U.K. food producer, which has a market capitalization of GBP304.6 million, is in the midst of an all-share merger with Ireland's Greencore Group PLC (GCG.DB). That deal already has been approved by the board. Shareholders will vote on that merger on Jan. 31.

"Shareholders should be aware that there is no certainty that an offer will be made nor as to the terms upon which any such offer may be made," Northern Foods said in a statement about Boparan's approach.

The Daily Telegraph reported Wednesday that tycoon Ranjit Boparan is planning a GBP300 million hostile bid for Northern Foods. He already owns 6.6% of the company.

Northern Foods produces ready meals, sandwiches, salads and chilled pizzas for U.K. supermarkets, including Tesco PLC (TSCO.LN) and Marks & Spencer Group PLC (MKS.LN), and produces its own branded products including Fox's biscuits and Goodfella's and San Marco pizzas.

Greencore produces prepared meals under the Weight Watchers and other brands, chilled sauces and soups, cakes and desserts, and sandwiches, prepared salads and sushi.

The two companies plan to combine in a merger of equals to create a business called Essenta Foods, which will be headquartered in Dublin with an operational center in Yorkshire, England.

"The board of Northern continues unanimously to recommend shareholders to vote in favor of the proposed merger," the company said.

At 0832 GMT, Northern Foods' shares traded up 5 pence, or 7.5%, at 65 pence. The stock has gained 6.5% in value since the start of the year.

-By Patricia Kowsmann, Dow Jones Newswires; +44(0)207-842-9295; patricia.kowsmann@dowjones.com

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