Wall Street rumours that the owners of Norwich-based Kettle Foods are preparing to put the business up for sale were dismissed yesterday as “speculation”.
There were reports in the United States that Kettle's owner, London-based private-equity firm Lion Capital LLP was seeking about 10 times its annual earnings, or about $700m (£430m).
The Wall Street Journal claimed that Lion, which acquired Kettle in 2006, had hired investment bank Rothschild to conduct an auction.
Last month the EDP reported that there was growing speculation about the future of Kettle - which makes Kettle Chips - and that Lion Capital was believed to be talking to potential buyers with snack food producer United Biscuits said to among the interested parties.
But yesterday Kettle Foods said: “Both the UK and the US businesses are doing well.
“There is always interest in businesses doing well and we have a great brand that a number of people would love to own.
“Lion Capital is frequently approached about selling Kettle Foods and so rumours of a sale, as reported recently in The Wall Street Journal, are not uncommon.
“If Lion Capital has decided it is time to 'test the water' for potential buyers that wouldn't be a surprise because both businesses are doing well, however that's a very different thing to being sold, particularly in this economic climate.”
According to The Wall Street Journal, among those looking at Kettle was PepsiCo's Frito Lay unit, and pretzel maker Snyder's of Hanover.
There were reports in the United States that Kettle's owner, London-based private-equity firm Lion Capital LLP was seeking about 10 times its annual earnings, or about $700m (£430m).
The Wall Street Journal claimed that Lion, which acquired Kettle in 2006, had hired investment bank Rothschild to conduct an auction.
Last month the EDP reported that there was growing speculation about the future of Kettle - which makes Kettle Chips - and that Lion Capital was believed to be talking to potential buyers with snack food producer United Biscuits said to among the interested parties.
But yesterday Kettle Foods said: “Both the UK and the US businesses are doing well.
“There is always interest in businesses doing well and we have a great brand that a number of people would love to own.
“Lion Capital is frequently approached about selling Kettle Foods and so rumours of a sale, as reported recently in The Wall Street Journal, are not uncommon.
“If Lion Capital has decided it is time to 'test the water' for potential buyers that wouldn't be a surprise because both businesses are doing well, however that's a very different thing to being sold, particularly in this economic climate.”
According to The Wall Street Journal, among those looking at Kettle was PepsiCo's Frito Lay unit, and pretzel maker Snyder's of Hanover.
