Drinks and snacks group C&C said today that it was undertaking a strategic review of its Tayto crisps business, but there was no certainty that it would lead to a transaction.
C&C, whose other brands include Club orange and Bulmers cider, was responding to speculation in the media that the Tayto subsidiary was up for sale.
In a statement this morning, C&C said it had retained IBI Corporate Finance to assist it in the review, which was at an early stage.
The Irish Independent said today that C&C planned to sell Tayto, with market sources estimating the unit's value at around €60m. It quoted food industry sources as saying the most likely buyer was Tayto in Northern Ireland, a separate company that owns the rights to the Tayto name in Northern Ireland and outside Ireland. It recently bought British crisp maker Golden Wonder.
Another possibility was Irish snack firm Largo Foods, which owns Perri Crisps.
Analyst said that a sale of Tayto had been expected for some time. C&C shares were closed up 20 cent at €5.95 in Dublin.
