Grampian Country Foods is to taken over by the major Dutch meat processor, Vion.

This acquisition sees Vion strengthen its UK position, where it has successful operations in the fresh pork, bacon and sausage markets.

"This announcement is evidence of the great importance Vion attaches to the UK market, said Daan van Doorn, chairman of the Vion Board of Management. "At the heart of Vion's business is a 'Passion for Better Food' and Grampian is key to developing this strategy",

He added: "The combined group will become a major player in the UK food industry. Together with Grampian's management, we want to further intensify the cooperation with our retail clients by investing in Grampian, sharing knowledge and developing partnerships."

In the UK, Vion currently has four business operations and is responsible for the sales of bacon, fresh pork, beef and convenience products to the UK market. Key Country Foods is a major UK retail bacon processor and vion has a majority share in J&J Tranfield, a leading supplier and manufacturer of pizza and sausages.

Grampian Country Food Group was founded in Scotland in 1980 and has developed into one of the UK's leading food companies, supplying the major multiples with chicken, pork, beef and lamb. The company currently employs 17,500 staff (of which 4,500 in Thailand), with an annual turnover of £1.7bn (€2.5bn) and has production locations in the UK and Thailand.

The takeover will be submitted to the competition authorities.