Premier Foods has extended its licensing agreement with Mondelēz International to produce Cadbury branded cakes.
The deal allows Premier to make Cadbury cake products until at least June 2017.
Premier hopes to drive growth of Cadbury branded cakes and ambient desserts including the well-known Cadbury Mini Roll.
In addition, the contract allows the use of the group’s other trademarks for cake and dessert products (subject to approval).
Premier Foods CEO Michael Clarke said: "Renewing the Cadbury Cake licence through to at least 2017 is an important step as we seek to build on the momentum in our Grocery business.
"Cadbury is the fastest growing cake brand in the market and represents more than £60 million in annual sales.
“We intend to collaborate closely with Cadbury to expand consumer favourites such as Cadbury Mini Roll as well as leverage other Cadbury trademarks over time where this makes sense. This new agreement unlocks exciting growth opportunities in one of our core power brand categories.”
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