The European Commission has cleared the proposed acquisition of Diageo food chain Burger King Corp by a consortium of US investors.
Although the deal brings Burger King into the same group as Domino's Pizza, it will continue to face competition from a wide range of rival food chains, the EC said.
Earlier this week, there were suggestions other buyers for the fast-food outlet could re-emerge if the Texas Pacific Group (TPG) consortium failed to close its buyout because of reported difficulties in raising finance, industry sources said.
Although Diageo is "still committed" to closing the current £2.26 billion sterling deal with TPG, the sources indicated that if it could not be closed in the final quarter of 2002, the doors would be opened for private equity firm Thomas H Lee Partners, which lost out narrowly to the TPG bid.
Other buyers for the chain could also include private equity firms Blackstone and Madison Dearborn, whichpulled out of the Burger King auction.