Mr Kipling cake maker Premier Foods PLC (LON:PFD) has refused to rule out selling off its Batchelors brand, although it is not currently in advanced discussions to do so.
Press reports over the weekend had suggested that Premier was exploring a deal with Japanese noodle giant Nissin Foods in a bid to boost returns.
READ: Premier Foods swings to a half-year profit as Angel Delight makes a comeback
The St Albans-based group said on Monday that, “in line with good corporate governance”, it regularly reviews options to boost value for shareholders.
“Such reviews do periodically involve discussions with third parties, including Nissin (with whom the company signed a Co-operation Agreement on 23 March 2016),” the statement said.
“There is no current situation where discussions have gone beyond an exploratory stage.”
READ: Premier Foods says first quarter sales fell but stays confident of growth ahead
Premier added that it has made no changes to its strategy since last summer when it told investors that it was focussed on reducing the ratio of net debt to EBITDA below three times.
Shares opened 2.5% higher on Monday at 42.4p.