Nortera, B&G Foods drop merger attempt after competition watchdog steps in

Two Canadian food companies, Nortera and B&G Foods, have abandoned their proposed merger after the Competition Bureau intervened. The Bureau's investigation in August determined that the acquisition of Green Giant and Le Sieur brands from B&G by Nortera would likely result in higher prices and reduced variety for consumers due to Nortera's dominant position in the Canadian canned and frozen vegetable market.

Nortera, a Quebec-based company, has been the exclusive producer of these brands in Canada for three decades. The Competition Bureau found that the merger would create a monopoly, leading to harm to competition in the wholesale supply of essential frozen vegetables such as corn and peas. The two companies announced that B&G Foods will retain ownership of Green Giant Canada and Nortera will continue to serve as its primary co-manufacturer.