The agreement, subject to the approval of the UK and Irish competition authorities, would give UB access to brands such as Jacob’s Cream Crackers and Twiglets.
Stamford Partners and Deutsche Bank advised the biscuits and snacks supplier on the purchase.
Jacob’s operates in the UK and Ireland and made total sales of £184m in 2003. United Biscuits clocked up sales of £1.3bn last year. Chief executive Malcolm Ritchie said: “Jacob’s is a natural extension of United Biscuits’ existing businesses servicing a similar consumer and customer base.
“There exists strong demand for Jacob’s range of products which we can be confident can be extended to the benefit of the two companies and our consumers.”
He added: “As with all United Biscuits’ activities, the focus will be on maintaining a high level of investment behind priority brands to ensure that they enhance their market position.”