The Australian foods group Burns Philips has confirmed it is has agreed to sell its food ingredients operation in Australia and New Zealand to Kerry Group. Burns Philips told the Australian Stock Exchange that conditional agreement on the sale had been reached with Kerry, and it is understood that all remains to be sorted out are some legal formalities.

Confirming the conditional purchase, a spokesman for Kerry would not say how much the group is paying, but it is thought to be in the order of £15 million to £20 million.