Results ahead of market expectations and explanations of its acquisition strategy helped Greencore when it announced a 9 per cent drop in pre-tax profits to £49.7 million. The company is clearly trying to accelerate its diversification into the food sector and reduce the dominant influence of the traditional sugar product, sugar. Management on the acquisition side has been strengthened to meet the challenge of finding the right acquisition and negotiating the right price chief executive David Dilger was adamant any acquisition would have to add value for shareholders.

But it will be interesting to see what the company does with its diluted (down from 27 per cent to 14 per cent) stake in the US sugar group, Imperial Holly. If Greencore is successful in its bids for Pauls Malt and/or Dalgety in Britain, it would not be a big surprise to see the Imperial Holly stake put on the market.