The planned joint venture by fertiliser firms Terra and Kemira Growhow has been given the go ahead.
The Competition Commission approved the alliance today (11 July) to allow the companies to combine their fertiliser and chemical businesses in the UK.
The approval is conditional on the firms’ successful sale of parts of their process chemicals businesses, which account for less than 3% sales of the joint venture.
The joint venture will see Kemira Growhow and Terra each owning half of the business. The companies hope to cut costs and create operational synergies through the merger.
Mike Bennett, Terra chief executive, said: “We have worked closely with the Competition Commission and expect to satisfy their conditions soon so that we can start the joint venture.
“We continue to believe that the proposed joint venture represents the best way forward for our UK business and customers.”