Shares in Premier Foods were down slightly on the FTSE 250 in morning trading after the group said that it was in "advanced" talks for the takeover of its meat-free business, including Quorn.

Two months ago Premier Foods confirmed that it had received approaches for the meat-free business.

In an update on the situation Premier Foods said that it had received bids from a number of parties including multinational food groups and private equity firms. In addition discussions are "at an advanced stage" with two interested bidders, the group said.

Premier Foods emphasised that the sale of its meat-free business was not guaranteed and would only go ahead if it delivered shareholder value and reduced the average net debt/EBITDA.

By 09:20 shares in Premier Foods were down 0.05 per cent on the FTSE 250 to 18.55 pence per share.