Article: UB sold to private equity groups in GBP 1.6bn deal

TWO private equity giants yesterday agreed to snap up United Biscuits, Britain's biggest biscuit maker, for GBP 1.6 billion including debt.

It came as the unions urged the buyers to sort out the pension deficit problems at the group, which was formed from the merger of two Scottish companies, McVitie & Price with Macfarlane Lang & Co, in 1948.

Blackstone, of the United States, and European firm PAI Partners are paying a little less than the GBP 1.7bn originally expected for UB, whose brands include McVitie's Jaffa Cakes and Jacob's Cream Crackers.

As part of the deal, PAI increases its current 40 per cent stake in UB to about 50 per cent.

UB is Europe's second-largest biscuit maker after ...

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