Vandemoortele’s acquisition of fellow frozen viennoiserie supplier Délifrance has moved to an in-depth investigation by the Competition and Markets Authority (CMA) after it failed to put forward a buyer for two production facilities.
The competition watchdog had previously raised concerns about the merger which was completed on 31 December 2025 creating a global bakery player with an estimated turnover of €2.4bn (£2bn).
Belgian family-owned food group Vandemoortele and Délifrance, previously part of French grain cooperative Vivescia, each supply frozen viennoiserie products such as croissants and pain au chocolat to supermarket and foodservice customers. These customers bake the products in-house bakeries and sell or serve them to end-consumers.
The CMA’s phase 1 investigation found that the deal could result in Vandemoortele becoming the largest supplier of frozen viennoiserie products in the UK by a considerable margin and could substantially affect competition in the supply of these products, potentially leading to higher prices or lower quality for customers in the UK.
In an attempt to resolve this, the businesses proposed to sell Délifrance’s UK laminated dough business together with two production facilities in France – in Avignon and Béthune.
However, despite the CMA engaging closely with Vandemoortele to support its delivery of a resolution, Vandemoortele had not put forward a proposed sale by the deadline of 22 April 2026. As such, the deal has now been referred to an in-depth phase 2 inquiry which will be led by an independent panel of experts who will investigate the concerns in more detail.
According to CMA documents, Vandemoortele indicated that it intended to propose Sammontana Italia S.P.A. Società Benefit (Sammontana) – a manufacturer and distributor of gelato, baked goods and frozen pastries, headquartered in Empoli, Tuscany – as the buyer. However, the day before the deadline, Vandemoortele informed the CMA that it would not be in a position to a formal upfront purchaser proposal or final transaction documents for the CMA’s review within the time available.
The statutory deadline for the decision is now 6 October 2026.
A statement from Vandemoortele said it takes note of the decision by the CMA.
“Vandemoortele remains confident in the strategic rationale of the transaction and believes it will deliver value to customers and partners, including through continued investment and innovation,” the statement continued. “The company will continue to engage constructively with the CMA and provide all necessary information to support the review process.”
Allied Bakeries is in a similar position following a phase 1 investigation by the CMA of its proposed merger with Hovis which raised concerns about its impact on competition in Northern Ireland. As such, Allied Bakeries owner Associated British Foods is running a sales process for its bakery business in Northern Ireland.
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