British food company Premier Foods takes over Merchant Gourmet, a brand specializing in health-conscious pre-made meals, for a £48 million price tag.

In a strategic move, the financial services company Premier Foods has agreed to purchase Merchant Gourmet, a brand specializing in healthy ready meals, for £48million. This acquisition is expected to help meet the growing demand for premium, healthy, and convenient meal options, as stated by Premier Foods boss, Alex Whitehouse.

Founded in 1994 by brothers Mark and Oliver Leatham from a market stall in London, Merchant Gourmet has grown to become a leading player in the organic grains, pulses, and seeds market. The current managing director, Richard Peake, believes Premier Foods is the right partner to match their ambition.

Premier Foods, known for brands like Mr Kipling, has been expanding its portfolio in recent years. In 2022, they bought cooking kit firm The Spice Tailor and in 2023, they acquired granola maker Fuel10K. Following the acquisition of Merchant Gourmet, shares in Premier Foods, which also owns Bisto, Ambrosia, and Oxo, rose 1.2%.

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According to Peake, Premier Foods understands where Merchant Gourmet came from and respects what makes their brand special. This acquisition is expected to be a significant step forward for both companies, combining Premier Foods' expertise in food manufacturing with Merchant Gourmet's focus on healthy, convenient meals.

As always, it's crucial to do your own research and make informed decisions when it comes to investing. Stay tuned for more updates on this developing story.