Premier Foods is seeking a cash injection from investors to try and cut its debt, the company said.
The Mr Kipling cakes maker confirmed it has been speaking to investors in a release to the stock exchange.
The group said it is reviewing a range of options to reduce group debt and added: "Premier confirms that, as part of this review, it has held preliminary discussions with a number of its investors and certain other parties regarding a possible investment in Premier."
The firm said it would give full consideration to shareholders rights in any decision.
The Financial Times reported Premier Foods was seeking to raise between £200 million and £300 million from existing institutional investors and external investors.
The paper, without naming sources, said Lion Capital was among the groups contacted by Premier Foods.
Premier Foods bought RHM, which gave it Hovis bread, and Campbell, the soup maker, two years ago.
The acquisitions made Premier Britain's biggest food maker but also left the firm with a debt of £1.8 billion.
Soaring wheat costs and a credit squeeze have made reducing the debt a priority and Premier has already scrapped its interim dividend and announced a cost-cutting programme.
Digg 
Delicious 
Reddit 
StumbleUpon 
Google 
Technorati 
Netvouz