Shareholders in Simeon Wines Ltd have approved the company's merger with Brian McGuigan Wines Ltd, agreeing to the deal by a large majority. The merger will result in the formation of Australia's fourth largest listed wine company.

"I look forward to working with my colleagues at Simeon to ensure that the merged group takes full advantage of the future growth opportunities we see, both domestically and overseas," said McGuigan Wines managing director, Brian McGuigan.

The merged company is expected to record a net profit of A$34.2m for 2002/03. Shares in the new company, which the deal at A$427m, are expected to begin trading on June 24.