Vandemoortele has formally acknowledged that its acquisition of bakery peer Délifrance could substantially harm competition in the UK supply of frozen laminated-dough products, the Competition and Markets Authority said on 15 May.
The company notified the CMA that it accepts the deal "may be expected to result in a substantial lessening of competition" for retail and foodservice customers in the UK, reflecting concerns the regulator raised during its initial Phase 1 investigation. Vandemoortele's concession covers what regulators call "horizontal unilateral effects" in the frozen laminated-dough market.
The CMA has accepted Vandemoortele's acknowledgment of these issues, termed an SLC (substantial lessening of competition) concession, and will continue investigating the transaction on that basis. The regulator said in April that the merger could make Vandemoortele the largest supplier of frozen viennoiserie products in the UK by a considerable margin, with potential to lead to higher prices or lower quality for customers.
Deal timeline and remedies
First announced in March 2025, the deal had raised competition concerns in both the UK and EU. Vandemoortele pledged in December to sell two Délifrance plants in France to secure approval from regulators, committing to dispose of frozen laminated-dough facilities in Avignon in the south and Béthune in the north.
The European Commission provisionally approved the deal in December on those conditions. No buyer for the two plants has yet materialised, however. Last month, the CMA referred the transaction for an in-depth Phase 2 probe after concluding Vandemoortele had failed to resolve its competition concerns.
The businesses
The planned combination would create a EUR 2.4 billion bakery group. Délifrance operates 14 production facilities, employs more than 3,200 staff, and supplies retail and out-of-home customers across Europe and Asia. Vandemoortele has 28 manufacturing plants and 3,500 workers, with frozen bakery brands including Lizzi, Banquet d'Or, and Lanterna. The company supplies customers in Europe and the US as well as private-label clients.