The Competition and Markets Authority (CMA) in the UK is considering remedies offered by Greencore Group in relation to its acquisition of Bakkavor Group. This follows a Phase 1 investigation that raised concerns about potential competition issues in the supply of own-label chilled sauces.

Greencore, a significant player in the food manufacturing sector, specializes in convenience food production and distribution, while Bakkavor operates as a multinational supplier of fresh prepared foods. Both companies supply major supermarkets and grocery retailers in the UK.

The CMA's investigation indicated that the merger could lead to a substantial lessening of competition, particularly affecting prices and product quality for chilled sauces. To alleviate these concerns, Greencore has proposed to divest its only chilled sauce and soups manufacturing plant located in Bristol.

Joel Bamford, Executive Director of Mergers at the CMA, emphasized the importance of maintaining effective competition to keep prices low for consumers. The CMA is now set to consult on the details of the proposed remedies and the potential buyer.