The Barnsley business is a major glass packaging producer for the food, drink and pharmaceutical sectors, employs around 700 and had a 2004 operating profit of £3M on sales of £101M. Ardagh, which has paid £50M in cash for Redfearn, already owns rival glass company Rockware. Its proposed purchase of the then Rexam Glass Barnsley business was referred to the Competition Commission on August 1 last year.
In its final report, published on December 20, the Commission said it had concluded that "the acquisition cannot be expected to result in a substantial lessening of competition within the market for the supply of glass containers in the UK".
Chairman of the Commission's inquiry group Diana Guy says: "Although we were concerned by the loss of an independent competitor, a number of factors meant we could not conclude with any certainty that Ardagh would have the incentive and ability to use this position it acquired through the merger to the detriment of customers."
