Private equity firms are making all the running in the auction of Jammie Dodgers and Cadbury Fingers maker Burton’s Biscuit Company.
City sources told The Grocer four private equity firms were lined up to bid for the company - Ontario Teachers, Apax, Warburg Pincus and Clayton, Dubilier & Rice.
Apax and Ontario Teachers have no investments in UK grocery, while Warburg Pincus owns a large stake in Premier Foods and Clayton, Dubilier & Rice took a significant stake in B&M Retail last year. Former Tesco boss Sir Terry Leahy is a senior advisor at CDR.
Although it was rumoured to be interested in buying the company, Fox’s Biscuits brand owner 2 Sisters Group would not be putting in a bid for Burton’s, sources said.
Second-round bidding for Burton’s is due to take place in the second half of November.
Burton’s was put up for sale at the end of August with a price tag of £350m. The company is currently owned by the Canadian Imperial Bank of Commerce, alongside the private equity firms Duke Street Capital and Apollo Global Management.
Credit Suisse is handling the sale.