LONDON (Reuters) - Irish cider maker C&C Group Plc (I:GCC) has decided against making a takeover offer for British pub chain Spirit (L:SPRTC), it said on Tuesday, clearing the way for Greene King (L:GNK) to buy it.
C&C said in a statement the combination with Spirit no longer met its return criteria.
Spirit, which has recommended a rival 774 million pound offer from larger pub chain Greene King, had already rebuffed an approach from C&C, the maker of Magners cider.
Responding to C&C's statement, Spirit confirmed the planned timing of its acquisition by Greene King, as announced on Dec. 18. Spirit shareholders would meet on Jan. 13 and completion was expected by the end of the first half of the year.
Analysts had not expected another C&C bid to materialise due to worries over the strategic benefit to the Irish company of buying the pub chain.
Under British takeover rules, C&C had until 1700 GMT on Tuesday to state whether or not it planned to make a firm offer for Spirit.
(Reporting by Sarah Young; Editing by Mark Trevelyan)