Germany's Intersnack close to United Biscuits snack deal-report

LONDON Tue Dec 4, 2012 8:43pm EST

LONDON Dec 5 (Reuters) - Germany's Intersnack is finalising an agreement to buy United Biscuits' savoury snacks arm, KP Snacks, for more than 400 million pounds ($644 million) according to a media report published on Tuesday.

Intersnack and KP Snacks could announce a deal as soon as this week, Bloomberg said, citing three people familiar with the discussions who declined to be named.

Privately owned Intersnack is the maker of Vico chips and Penn State pretzels and employs 6,000 people.

United Biscuits' owners Blackstone and PAI kicked off the auction in August by hiring Credit Suisse, after failing to sell the whole company in 2010.

Intersnack was one of a number of interested parties, sources said in November, along with a number of private equity firms..