Irish convenience-food maker Greencore agreed on a possible cash offer to acquire Bakkavor in a sweetened deal that values its U.K. peer at around 1.2 billion pounds ($1.55 billion), the companies said.

The acquisition would create a convenience-food business with a combined revenue of around 4 billion pounds. Greencore shareholders would own around 56% and Bakkavor shareholders would own around 44% of the combined group.