Food fight looms over fryer firm

Enodis also makes the soft drink machines used in fast food restaurants.

UK kitchen equipment firm Enodis, which supplies deep-fat fryers to McDonald's, has agreed to be bought by a US company which has tabled a £1bn cash bid.

The approach by Illinois Tool Works (ITW) trumps the £948m offer already on the table from Manitowoc, a maker of cranes and restaurant equipment.

Enodis shares soared 16% on the news as traders speculated that a takeover battle could break out.

ITW's offer values Enodis at about twice what it was worth a month ago.

Competition hurdle

Shareholders in Enodis would receive 282p in cash for each share if the deal goes ahead.

In a joint statement, the companies said the enlarged firm would be an industry leader in food service equipment.

Enodis started life in the mid-19th Century as small food merchant S & W Berisford.

It now owns 30 brands and its range of products include refrigeration units and the ice and drink dispensers used in fast-food restaurants and supermarkets.

ITW, which employs about 60,000 people in 52 countries, has interests in similar markets, as well as ventilation and pollution control systems.

The takeover is dependent on getting EU competition clearance.