Greencore shares slump on US sale news

Greencore bought the former Peacock Foods business in late 2016 for almost $750m amid hopes that it could bring its US revenues to $1 billion over five to ten years

Patrick Coveney, chief executive of Greencore

Shares in convenience food supplier Greencore fell by almost 9 per cent to 189p in London on Monday after it agreed to sell its troubled US business to US contract food maker Hearthside for $1.1 billion (£817m).

Shareholders will be asked to approve the deal at a special meeting in Dublin on November 7.

Greencore bought the former Peacock Foods business in late 2016 for almost $750m amid hopes that it could bring its US revenues to $1 billion over five to ten years. But the companystruggled to convince investors that its US strategy was working.