Princes Group will be acquired by Italian company Newlat Food as part of a £700 million deal.

Princes said that combining the two companies would create a "leading player" in the European food industry with a revenue of more than €2.8 billion, adding that the group's management is optimistic that this turnover could hit €5 billion by 2030.

Following the completion of the intended acquisition of the Group, Newlat Food and its group will become ‘New Princes Group’.

Princes Limited will retain its identity and operate as a UK based subsidiary of the New Princes Group.

Princes, which is currently owned by Japanese company Mitsubishi Corporation, is one of the UK’s largest food and drink groups.

The group manufactures products under numerous British household names, including Branston, Flora and Napolina.

Princes’ head office is based in the UK and is supported by a presence across Europe, managed from The Netherlands.

There are also dedicated sales and marketing offices in Poland, tuna processing facilities in Mauritius, tomato processing in Italy, and edible oils production in Poland.

“This is an exciting prospect for Princes, and we are delighted that Newlat share our confidence in the Group’s strategic growth plans, brand strategy, operational excellence and people culture," said Simon Harrison, chief executive at Princes Group. "The intended sale remains an ongoing process and further information will be shared in due course.”

Newlat is an international agro-food group that produces and distributes dairy, baby food, pasta, bakery, gluten free, instant hot snacks and other specialty food products mainly under its own brands as well as private label.

It currently has operations in four countries, namely Italy, UK, Germany and France, through its subsidiaries Centrale del Latte d’Italia, Symington’s, Newlat GmbH and EM Foods.

The newly formed New Princes Group will have a global operating network of 31 factories and a diversified portfolio across 10 distinct categories.

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