The Office of Fair Trading was considering whether to refer the sale of Peninsula Milk Processors and Newlands Farm to the commission.
Robert Wiseman, chief executive of Robert Wiseman Dairies, said the OFT’s decision would allow the company to serve the whole of the UK’s milk market.
The acquisition complements its plans to open a dairy in Bridgwater, Somerset, he added.
Nairn Glen, Milk Link’s group director, said the sale of the businesses would allow Milk Link to concentrate on improving its processing capabilities.
Completion of the sale would include a three-year milk supply contract to Robert Wiseman’s Brigwater dairy, he said.
“This will provide us with a profitable and secure outlet for an initial 110 million litres of our Members’ milk per annum,” he added.
Milk Link and Robert Wisemen are set to complete the transaction for the two businesses next week (26 August).