Food manufacturer Premier Foods has announced that it will acquire Merchant Gourmet, a premium, convenience meal brand.

Merchant Gourmet produces ready-to-eat pulses and grains, including microwaveable rice and meals. Premier Foods said the brand had a “strong track record” of profitable sales growth.

Founded in 1995, Merchant Gourmet boasts a range of lentils, wholegrains, chestnuts and mushrooms, and offers products that are ready to eat in 90 seconds, or straight from the pouch.

Premier Foods, which employs more than 4,000 people operating across 13 sites in the country, owns brands such as Ambrosia, Batchelors, Bisto, Loyd Grossman, Mr Kipling, Oxo and Sharwood’s.

Alex Whitehouse, Premier Foods chief executive officer, commented: “We’re very pleased to have agreed the acquisition of Merchant Gourmet, which meets the growing demand for premium, healthy and convenient meal options. Replicating the success of our previous two acquisitions, The Spice Tailor and FUEL10K, we will be deploying our proven branded growth model; expanding retailer distribution, accelerating new product development, and increasing marketing investment to unlock further profitable growth for the brand.

“Merchant Gourmet expands our category presence, complementing our already strong brand portfolio, and we look forward to welcoming the team to Premier Foods.”

Richard Peake, managing director of Merchant Gourmet, stated: “Merchant Gourmet has always been about creating great-tasting, premium, healthy food that anyone can enjoy. Over the last few years, our team have worked incredibly hard, delivering double digit revenue growth and demonstrating huge success in entering new categories and new markets.

“Finding the best home for both Merchant Gourmet and our valued team is something we have thought carefully about, and we believe Premier Foods is the right partner to match our ambition. They understand where we’ve come from, they respect what makes our brand special, and we’re excited to continue innovating boldly and inspiring people to fall in love with simple, good food.”