The Irish Times Ltd and Associated Newspapers, joint owners of Metro Ireland, and Independent News and Media, owners of Herald AM, have agreed to merge the two newspapers into a single new title, Metro Herald, with each shareholder retaining one-third of the merged business.

The merger of the two Dublin commuter freesheets, which is subject to the approval of the Competition Authority, will see the shareholders increase investment into the merged business.

Metro Heraldwill see 70,000-plus copies distributed daily in the Greater Dublin Area.

Maeve Donovan, managing director of The Irish Times Ltd, said: “The merger will build on the success of Metro in creating a strong newspaper brand for young urban commuters.

“It will provide a powerful platform for advertisers as a single unified title looking to maximise the effectiveness of advertising spend to this valuable audience.”

Steve Auckland, chairman of Metro Ireland and managing director of Associated Newspapers’ free division, said: “This is a great development for all three parties. This combination of two quality free daily titles ensures that despite the difficult market conditions, Dublin commuters will continue to enjoy a free daily newspaper and advertisers will benefit from access to a young, urban audience.”

Vincent Crowley, chief executive of Independent Newspapers (Ireland), said: "The strong local brand of Herald AM, merged with Metro Ireland, creates a unique free daily newspaper. Readers and advertisers alike will welcome this development, which meets the needs of Dublin's morning commuters for a light yet informative read, and serves effectively those advertisers that seek to engage with them."