Permira Advisers LLP is seeking to recapitalize Birds Eye Ltd., which will provide the owner of the U.K. frozen foods company with a dividend of 500 million pounds ($774 million), the Sunday Times said, without saying where it got the information.
Under the plan, Permira, the private equity firm that’s owned Birds Eye for six years, may increase the food company’s debt to almost 2 billion euros ($2.46 billion) from 1.4 billion euros after failing to sell the business earlier this year, according to the report.
Noemie de Andia, a Permira spokeswoman in London, declined to comment when contacted today by phone. The operating profit of Iglo Foods Holdings Ltd., the Birds Eye holding company bought by Permira in August 2006 from Unilever Plc, jumped 35 percent in 2011 to 247 million euros, according to that company’s annual review.
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