American fresh produce firm Chiquita Brands has received European Commission (EC) clearance for its proposed merger with Ireland-based Fyffes.
The company previously agreed to acquire Fyffes for $526m in March.
A definitive agreement to this effect was signed between both the companies.
As per the agreed terms, Chiquita shareholders will own 50.7% stake in the combined company ChiquitaFyffes, while the remaining 49.3% stake will be owned by Fyffes shareholders.
Chiquita CEO Ed Lonergan and Fyffes executive chairman David McCann said: "This regulatory clearance represents a significant milestone for our proposed transaction to create the #1 banana company globally.
"We have worked closely with the European Commission to address any concerns, and today's decision reaffirms our confidence that the combination of Chiquita and Fyffes is a natural strategic partnership, one that is now assured of a clear timeline to completion before the end of the year."
ChiquitaFyffes will have an operating presence in more than 70 countries and will employ around 32,000 people around the world.
Chiquita markets and distributes fresh and value-added food products ranging from energy-rich bananas, blends of convenient green salads, other fruits to healthy snacking products.
