IRN Bru maker A.G. Barr this morning pledged to drive forward the merger with peer Britvic, arguing there was a “compelling rationale” for it to be green-lit by the competition watchdog.
The merger between the two drinks companies, first announced in September, was referred to the Competition Commission in February due to competition concerns around certain brands. The investigation is expected to take around six months.
“The A.G. BARR board considers there to be a compelling rationale for clearance and that the benefits of the transaction remain significant for both shareholder groups,” said chief executive Roger White.
It comes as the drinks firm posted a pre-tax profit of 4.3 per cent for 2012 at £35m. Revenues climbed 6.6 per cent to £237.6m over the full year.