
Irish convenience foods group Greencore has announced it will merge with UK-based rival Northern Foods to form a new company called Essenta.
The 50-50 merger will create a company with sales of £1.7 billion (€2 billion) and 17,000 staff, with projected synergies of £40 million a year.
It is expected that the new company will achieve annual savings in overheads of £15 million; about £20 million in purchasing; and £5 million in tax efficiencies, with at least half of the cost benefits expected to be achieved within 12 months.