Newlat, the Italy-based meals producer, has halted negotiations to purchase UK tinned fish and beverage enterprise Princes after seeing its newest provide rejected.

In December, Newlat, which already owns UK meals producer Symington’s, confirmed it was concerned within the race to purchase Princes from Japan-based conglomerate Mitsubishi Corp, saying it was at a “very superior stage”.

Nevertheless, the Italian group stated on Friday (16 February) in a submitting that it had submitted a brand new bid for Princes which accounted for softening demand and decrease inflation within the UK’s “tough market setting”. Mitsubishi Corp. rejected the brand new proposal.

Newlat acknowledged that it remained open to a deal ought to the Princes proprietor change its thoughts on its newest proposal.

The Italian group added: “In any case, the corporate confirms its acquisition profile and the continual seek for progress alternatives via exterior traces, supported by a rising availability of its personal sources and the presence of necessary monetary companions who have been prepared to provide their full assist to the group confronted with this nice alternative and which we’re sure won’t fail to assist us sooner or later.”

Mitsubishi acquired Liverpool-based Princes in 1989. At the moment, Princes centered primarily on the import and distribution of shelf-stable meals akin to tinned fish. The corporate’s product vary now additionally consists of edible oils and drinks.

Sky Information reported in December that the asking worth was round £400m ($503m) for the corporate.

Final month, Princes revealed it moved into the crimson in its final full monetary yr. It reported a loss attributable to its house owners of £42.7m within the 12 months to the tip of March 2023 – towards a revenue of £17.2m a yr earlier.

Turnover stood at £1.74bn, towards £1.44bn within the 12 months earlier. Greater promoting costs helped Princes’ high line, it stated.