Cérélia has sold the Jus-Rol dough business to an affiliate of UK-based private-equity firm Rinkelberg Capital, ending a long-running regulatory dispute.
The French bakery group moved to buy Jus-Rol assets in the UK and Europe from US food major General Mills in November 2021, including the dough business in Ireland and Germany.
However, the UK’s Competition and Markets Authority (CMA) blocked the UK part of the deal in 2022 as it launched an investigation into the potential impact on competition in the frozen bakery dough sector.
Early in 2023, the CMA’s probe concluded that the acquisition “could leave UK retailers and shoppers facing higher prices and lower quality products” and ordered Cérélia to sell the assets, with the potential purchaser to be approved by the regulator.
Cérélia, which operates in the UK through its BakeAway subsidiary, launched two legal challenges opposing the disposal, only to be dismissed first by the Competition Appeal Tribunal and then the Court of Appeal in April 2024.
One of Cérélia’s contentions was the business had already invested in the Jus-Rol manufacturing plant in the East Midlands town of Corby, Northamptonshire.
In bringing the saga to a close, Cérélia has now sold the Jus-Rol UK assets to London-based Rinkelberg Capital for an undisclosed sum. The private-equity firm conducted the transaction through an affiliated company, Brioche UK.
“Rinkelberg Capital has acquired the Jus-Rol business in the UK and Ireland, as well as PA Ross Holdings Ltd., whose team will continue to manage the business,” the investor said in a statement provided to Just Food.
“We are excited about the growth prospects of this iconic British brand, and we look forward to working with our retail and manufacturing partners to realise its full potential.”
Brioche UK is subsequently being renamed Jus-Rol, according to filings with Companies House.
A spokesperson for Rinkelberg Capital confirmed that Brioche UK was set up for the purpose of acquiring the Jus-Rol assets, while PA Ross Holdings was providing management services to the dough business.
The CMA has now closed the book on its probe, suggesting it was happy with the nature of the buyer in the deal that closed earlier in March.
“Cérélia completed the sale of the Jus-Rol Business to Brioche UK Limited, an affiliate of Rinkelberg Capital Limited. This brings the merger investigation to a close,” the regulator said.
Meanwhile, this publication has asked Cérélia/BakeAway to clarify if the group still retains any Jus-Rol assets outside the UK given the CMA probe did not extend to European operations.
“We have completed the sale of Jus-Rol to Rinkelberg Capital – a company which shares our ambition for Jus-Rol and sees the brand’s potential,” Jan Boers, the managing director at Cérélia UK, said in a statement.
“We are pleased that as part of the arrangement Jus-Rol will continue to be produced in our facility in the UK.”
