Canned food and drinks manufacturer Princes has confirmed that Newlat Foods is to buy the business in a deal worth £700m.

The acquisition will see international agro-food group Newlat, which operates a raft of brands across dairy, wheat and speciality products, an purchase Princes Group and all its brands from Mitsubishi Corporation, which has been its owners since 1989, to form the “New Princes Group”.

Newlat currently has operations in four countries, including Italy, the UK, Germany and France, and operates both under own brand and private label. Its brands include Delverde pasta, Giglio and Polenghi dairy products and Naked noodles.

The new business will have a global operating network of 31 factories and a diversified portfolio across 10 distinct categories, with the two companies predicting sales of €2.8bn (£2.38bn) and an adjusted EBITDA of around €190m (£161.7m), to rise to a turnover of around €5bn (£4.2bn) by 2030.

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Princes Group chief executive officer Simon Harrison said: “This is an exciting prospect for Princes, and we are delighted that Newlat share our confidence in the group’s strategic growth plans, brand strategy, operational excellence and people culture.

“The intended sale remains an ongoing process and further information will be shared in due course.”

It is understood that the tuna giant is required to seek regulatory approvals before the final purchase agreement is signed.

The acquisition comes after Newlat originally paused talks to buy Princes in February after a revised proposal was rejected by Mitsubishi.