The UK Competition and Markets Authority (CMA) has opened a merger review into the completed acquisition by French poultry group LDC of Green Label Holdings Limited, the owner of the well-known Gressingham brand in the United Kingdom.
On 26 January 2026, the CMA issued an Initial Enforcement Order (IEO) under section 72(2) of the Enterprise Act 2002, signalling that it has reasonable grounds to suspect that the transaction may give rise to a relevant merger situation and could potentially result in a substantial lessening of competition in UK markets.
Transaction background
LDC announced in late 2025 that it had entered into a strategic partnership with the Buchanan family through the acquisition of a majority stake in Green Label Holdings Ltd. The transaction completed on 1 December 2025.
Green Label, trading as Gressingham Foods, is a long-established UK producer and supplier of duck and poultry specialities. The company operates across a vertically integrated agricultural value chain, including parent breeding, hatcheries, commercial farms and a processing plant in East Anglia, and employs around 700 staff. Approximately half of its supply requirements are met through its own farming operations.
For LDC, the acquisition supports its international growth strategy by expanding its footprint in the UK alongside its existing Welsh subsidiary and European imports, allowing it to broaden its offering to UK customers.
CMA concerns and scope of the review
Despite the deal having already completed, the CMA is assessing whether LDC and Green Label have ceased to be distinct and whether the merger could harm competition in the UK poultry sector.
Pending the outcome of this assessment, the CMA has imposed an Initial Enforcement Order requiring the parties to hold the businesses separate and refrain from any form of pre-emptive integration.
The IEO prohibits, among other things:
- Integration of the LDC and Green Label businesses
- Transfers of ownership or control
- Any actions that could impair the ability of either business to compete independently
- Sharing of commercially sensitive information outside limited permitted circumstances
The order also requires that both businesses continue to operate as going concerns, maintain their existing organisational structures, brands, customer relationships and IT systems, and retain key staff.
Compliance obligations and potential penalties
LDC, Green Label and the Buchanan family are subject to ongoing compliance and reporting obligations, including bi-weekly compliance statements confirming adherence to the IEO. They must also keep the CMA informed of any material developments, such as changes in key personnel, significant customer wins or losses, or disruptions to operations.
Failure to comply with the IEO can result in significant financial penalties, including fines of up to 5% of global turnover for corporate groups, as well as daily penalties for continuing breaches. Supplying false or misleading information to the CMA may also expose parties to civil penalties or criminal liability LDC uk.
Strategic implications
The case highlights once again the CMA’s strict approach to completed mergers, particularly in sectors such as agri-food where vertical integration and consolidation can raise concerns about market power, supply conditions and customer choice.
For LDC and the Buchanan family, the review introduces execution risk and limits the ability to realise integration synergies until the CMA reaches a decision. More broadly, the case serves as a reminder that foreign acquirers expanding in the UK must factor in the possibility of post-completion intervention and extended hold-separate obligations.
The CMA’s investigation is ongoing, and its eventual decision will determine whether the transaction can proceed unconditionally, requires remedies, or is referred for an in-depth Phase 2 investigation.