The Competition and Markets Authority (CMA) has cleared Müller’s acquisition of family-owned dairy company Yew Tree Dairy.

The deal, which looks to bolster production for the West Lancashire-based fresh milk and cream producer, was first unveiled in June.

The agreement will also enable Müller to use Yew Tree Dairy’s production capabilities for milk power in order to grow its export business, drive supply chain resilience and secure a positive future for the British dairy industry.

Subscribe to Grocery Gazette for free

Sign up here to get the latest grocery and food news each morning

At the time, the completion of the acquisition was still subject to approval from the CMA after worries it would cause the “substantial lessening of competition” in the UK dairy sector.

However, the CMA closed the case on 22 October, clearing the acquisition, with the full text decision to be published shortly.

Speaking of the deal in June, Müller Milk and Ingredients chief executive Rob Hutchinson said: “Yew Tree Dairy has excellent processing capabilities, a talented team with great expertise, and strong relationships with its customers and supplying farms.

“When combined with our well-invested and resilient network, I am very confident that these two family-owned businesses will complement each other really well.”

He added that the acquisition would enable the dairy giant to “tap into global dairy consumption growth, unlock additional export opportunities and continue to drive supply chain resilience”.