CMA Raises Chilled Sauce Competition Concerns Over Greencore-Bakkavor £1.2bn Merger

The UK Competition and Markets Authority (CMA) has raised concerns that Greencore's £1.2 billion takeover of Bakkavor could significantly reduce competition in the own-label chilled sauces market. While the CMA cleared the merger regarding chilled ready meals and own-label salads, it identified potential competition issues specifically in chilled sauces, where only two weaker competitors, Two Sisters Food Group and Billington Foods, would pose material rivalry to the merged entity. The CMA has given Greencore and Bakkavor until early November to propose remedies to address these concerns, warning that failure to do so could trigger a more detailed phase two investigation. Both companies have expressed willingness to work constructively with the CMA and remain optimistic about completing the deal by early 2026. Greencore's CEO Dalton Philips emphasized the complementary nature of the combined businesses and their commitment to resolving regulatory issues. Overall, the CMA's intervention highlights regulatory scrutiny of consolidation in the UK private-label food sector, especially in categories with limited competition.