The UK competition regulator has "provisionally cleared" Pork Farms' takeover of Kerry Group's chilled savoury pastry business.

The Competition and Markets Authority launched an in-depth investigation into Pork Farms' move to buy the scotch egg-to-sausage roll business in January over fears the deal could hit competition in a sector worth GBP1bn a year.

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However, the CMA said yesterday (21 April) it had "provisionally concluded the merger has not resulted – or may not be expected to result, in a substantial lessening of competition and hence higher prices or lower quality for retailers".

The watchdog will publish its final report on the deal – first announced last summer – by 21 June.

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