Arla's acquisition of Volac’s Whey Nutrition business has been approved by the UK's Competition and Markets Authority.
The regulator’s go-ahead follows an evaluation that took place after an acquisition agreement was signed in April.
The acquisition is set to significantly boost Arla's presence in the whey nutrition market, which is currently seeing major growth.
Luis Cubel, managing director of Arla Foods, welcomed the decision, particularly during a time of this rising demand.
"It means we’re a step closer to a significant acquisition that would consolidate our position as a leader in the whey nutrition space," he added.
"We will now move forward with the formal process necessary to make Volac’s Whey Nutrition business part of Arla Foods Ingredients.
"Once that is complete, we will be able to comment further on the many advantages of bringing together these two major manufacturers of whey ingredients."
James Neville, joint owner of Volac, said the firm was 'delighted' to have reached this important step in the acquisition process.
He said: “We were always confident that Arla Foods Ingredients had the necessary expertise and values to take our Whey Nutrition business to the next level.
"It’s great news for Volac Whey Nutrition, and for the whey ingredients sector, that these two innovative companies have been allowed to join forces.”
