The Competition and Markets Authority has announced the launch of its merger inquiry into the acquisition of South Africa’s Pioneer Foods by PepsiCo.
Pretoria-based Pioneer Foods exports branded food and beverage products to 80 countries in Africa and beyond. In the UK, the company produces and supplies a range of breakfast cereals and fruit snacks.
PepsiCo agreed to buy Pioneer Foods for about 24.4 billion rand (£1.2 billion) in July 2019, in a bold move into the African market.
The initial investigation by the CMA will decide whether to refer the merger for an in-depth investigation. The decision in this regard is expected by 26 March.
