United looks to new bids as talks end

The private equity owners of British snack maker United – which also counts Hula Hoops and McCoy's crisps among its brands – are understood to have ended exclusive discussions with Shanghai-based Bright Food after the group failed to come through with a formal offer.

US investment firm Blackstone and French buyout specialist PAI Partners, which have co-owned United since 2006, are now opening up talks to other potential bidders, according to The Times.

It is thought a raft of food firms already have United in their sights, including US Campbell Soup Company, Cadbury's new US parent Kraft and Kellogg's.

Blackstone and PAI were reportedly poised to launch an auction for United earlier this autumn, before Bright Food made an approach worth up to 2.5bn.

They are also said to have previously considered listing the business before deciding to formally put it up for sale.

United, based in Hayes, Middlesex, which also produces Jacob's and Penguin ranges, is Britain's biggest biscuit producer, employing 7,000 staff and generating profits of 223m last year.

It generates annual sales of 1.3bn, although it has 1.2bn of debt.

The group's history dates back to 1948, when it was formed from the merger of two Scottish family businesses – McVitie & Price and MacFarlane Lang.

Blackstone and PAI were not available for comment.