The UK's Office of Fair Trading (OFT) has said it has cleared the completed joint venture between Constellation Brands Inc and Punch Taverns PLC.

In April, Constellation Brands sold half of its Matthew Clark wholesale business in the UK to Punch Taverns. At the time Constellation said that it expected to receive approximately GBP85m (US$168m) from the sale.

Punch paid GBP35m for the stake, with the remaining GBP50m coming primarily from the issuance of debt by the joint venture.

Under the terms of the arrangement, Constellation Europe and Punch Taverns provide equal representation on a new holding company board. On a day-to-day basis the business will continue to be run by the current management team, headed up by Steve Thomson, the current managing director of Matthew Clark Wholesale.