<p>The acquisition follows months of speculation over potential bids, with Premier Foods recently dropping out of the race. <br /><br />The purchase will be financed by a combination of debt and an equal amount of equity provided by Blackstone and PAI, which is already a shareholder in United Biscuits. <br /><br />Cinven, MidOcean and PAI, together with the US food giant Kraft, bought United Biscuits in 2001, with Cinven and MidOcean each holding a 30 % stake in the company, and PAI 15%.<br /><br />Earlier this year, Kraft sold its 25% stake and, in February 2006, Goldman Sachs was appointed to handle the sale of the company after Cinven and MidOcean decided to sell their shares.<br /><br />United Biscuits is the UK's biggest biscuit manufacturer with brands including Penguin and McVitie's Jaffa Cakes.</p>
