Arla Foods has been granted approval by the European Commission to merge with Milk Link, but must sell a UK milk drinks business acquired through the deal to facilitate the move.
The Commission granted the approval subject to Arla implementing measures that would ensure competitiveness in the UK long life milk market.
Arla has therefore committed to selling Milk Link’s milk drinks business at Crediton, Devon, UK where Milk Link produces all of its long life milk, long life cream, extended shelf life milk, flavored dairy drinks and fresh bulk cream.
The Crediton business will be sold on terms approved by the Commission.
Arla said that its UK’s long life milk business, at the creamery in Settle, North Yorkshire, UK, will not be affected by the decision.
It claims that the Milk Link merger will create “the UK’s number one dairy company”.