Backgrounder: Competition Bureau seeks to block Nortera’s proposed acquisition of B&G’s Green Giant and Le Sieur Canadian vegetable business

Backgrounder

August 19, 2026

On this page

Overview

The Competition Bureau has asked the Competition Tribunal to block Nortera Foods Inc.’s proposed acquisition of B&G Foods Canada’s Green Giant and Le Sieur businesses. Nortera also sells canned and frozen vegetables, including under the Del Monte and Arctic Gardens brands.

The Bureau also asked the Competition Tribunal to prevent the companies from closing the transaction until the Tribunal issues a decision on the matter.

The Bureau found that the proposed transaction involving a dominant processor of canned and frozen vegetables in Canada is likely to lead to higher prices, fewer choices and less competition in the wholesale grocery supply.

Canned and frozen vegetables are staple food products purchased by millions of Canadian households. The prices consumers pay for these products directly affect grocery bills and the overall cost of living.

This backgrounder explains how the market works, the Bureau’s concerns, and how the proposed transaction could affect Canadians.

The proposed transaction and the market

In October 2025, Nortera reached an agreement to acquire assets related to B&G Foods Canada’s Green Giant and Le Sieur business.

The two companies play important roles in the supply of canned and frozen vegetables in Canada:

Nortera Foods Inc.

Processes, markets and sells canned and frozen vegetables in Canada. This includes products under the Del Monte and Arctic Gardens brands and retailer private label products.

 

B&G Foods Canada

Markets and sells canned and frozen vegetables under the Green Giant brand and canned vegetables under the Le Sieur brand, in Canada. It competes with Nortera to supply grocery retailers.

While Nortera processes most of B&G’s vegetable products in Canada, B&G operates as an independent supplier and competes with Nortera to sell products to grocery retailers.

Canned and frozen vegetables are sold to consumers through grocery stores. Suppliers compete to sell these products to retailers, and that competition influences prices, availability and the range of products offered to consumers.

This diagram shows how canned and frozen vegetables move from growers, to processing, to wholesale, to retailers, to consumers.

The proposed transaction would bring together Nortera’s production and branded products with the Green Giant and Le Sieur brands. As a result, a single company would control a large share of supply in a market that is already highly concentrated.

How the market works and what would change

  
  

Today

Nortera brands compete with Green Giant and Le Sieur.

  

If the transaction proceeds

All brands owned by Nortera.

Why this matters to Canadians

Competition between suppliers helps keep grocery prices affordable and ensures that consumers have options.

Why competition matters

When suppliers compete, retailers can negotiate better prices and terms.

When competition is reduced, those costs can increase, and may be passed on to consumers.

When competition is reduced, the effects can include:

  • higher prices
  • fewer promotions and discounts
  • reduced product choice

The Bureau found that the loss of competition between Nortera and B&G could weaken the ability of retailers to negotiate lower prices and better terms. In turn, these higher costs may be passed on to consumers at the grocery store, who may also face reduced choice.

Competition concerns

The Bureau found that the proposed transaction is likely to harm competition in several ways.

Loss of a close competitor

Nortera and B&G currently compete to supply canned and frozen vegetables to grocery retailers. They compete on price, promotions and efforts to secure shelf space. The proposed transaction would eliminate this competition.

Increased concentration in an already concentrated market

Nortera is already a processor of these products. The transaction would combine it with its largest vegetable brand competitor and further increase concentration.

Limited alternatives for retailers

Retailers rely on competition between suppliers when negotiating prices and supply agreements. The Bureau found that alternative suppliers, including foreign suppliers, are unlikely to provide sufficient competitive pressure to offset the loss of competition following the transaction. Some smaller retailers, in particular, rely heavily on branded products and may have fewer alternatives.

Barriers to entry are high

Entering or expanding in this market is difficult. Barriers to entry include significant investment in processing facilities, access to vegetables, and brand recognition. These barriers make it unlikely that new competitors would emerge quickly enough to counteract the effects of the transaction.

Remedies sought from the Tribunal

The Competition Bureau has asked the Competition Tribunal to block Nortera Foods Inc.’s proposed acquisition of B&G Foods Canada’s Green Giant and Le Sieur business.

The Bureau also asked the Competition Tribunal to prevent the companies from closing the transaction until the Tribunal issues a decision on the matter.

The Bureau is seeking an order from the Competition Tribunal to preserve competition in the supply of certain canned and frozen vegetables in Canada.

The final decision in this matter rests with the Competition Tribunal, which is independent from the Bureau.

  • The Competition Bureau, headed by the Commissioner of Competition, is responsible for the administration and enforcement of Canadian competition law. It investigates potentially anticompetitive conduct and may apply to the Competition Tribunal when it concludes that a transaction raises serious competition concerns.
  • The Competition Tribunal is similar to a court. It hears applications made under the Competition Act and issues decisions.

Next steps

The Bureau has asked the Tribunal, under Section 104, to temporarily prevent the transaction from proceeding until the case is decided. The Tribunal will first decide whether that interim measure is needed.

The case will then move forward under Section 92, where the Tribunal will review the merger and make a final decision. Under the Competition Tribunal's rules, the parties will have an opportunity to file additional materials, although the Tribunal sets timelines and procedural steps on a case-by-case basis, making it difficult to predict how long the proceeding may take.

The final decision in this matter rests with the Competition Tribunal.

Additional information

Page details

2026-08-19