18 May 1998
Unigates Hillsdown proposals ‘stumbles on price’
MILK company Unigate has reportedly offered food manufacturer Hillsdown £1.5 bILLIOn to buy it entire business.
Unigate is apparently only interested in Hillsdowns chilled foods division – which supplies sandwiches and delicatessen items to Marks and Spencers – but is prepared to buy the whole company and then sell of the bits it doesnt want.
But The Independent says Hillsdown is committed to breaking up the company into three separate divisions. Other competitors for the business are said to be Northern Foods, Danone and Geest.
The Independent also said Unigate has sufficient cash to finance a higher offer if Unigate refuses the £1.5bn. It said Unigate could spin-off its dairy operations into a separate company, or merge them with Express Dairies if required.
- The Times 18/05/98 page 52
- The Guardian 18/05/98 page 18
- The Independent 18/05/98 page 22
- Financial Times 18/05/98 page 21
- The Scotsman 18/05/98 page 17
- The Daily Telegraph 18/05/98 page 17 (The City Checklist), page 29