The Competition Authority yesterday approved drinks company M&J Gleeson's takeover of distributor United Beverages, but imposed a number of conditions.
Gleeson, which produces Tipperary Water and distributes a range of other brands, is buying United Beverages from Diageo, which owns Guinness.
United owns the Gilbey's wine business and a number of other drinks distribution businesses.
The mergers watchdog gave the go-ahead for the deal yesterday. However, it said that over the next five years, United would have to inform it of any proposed mergers in the drinks business in Dublin, Cork, Kildare, Monaghan, Meath and Wicklow.
United agreed the deal in May and notified the authority in early June, which then had two months to approve it. The authority extended this initial period and published its finding yesterday.
The Competition Authority has to be told if two companies with sales of more than €40 million each plan to join forces, and can stop the deal if it believes it will cause a substantial loss of competition in a particular market within the State.
The United Beverage deal will increase Gleeson's turnover by €70 million to €250 million and make it the biggest drinks wholesale business in the State.
