Shares in Poundland (LON:PLND) shot up 4 percent this morning after being given the go ahead to acquire the 99p Store chain.

An investigation by the antitrust watchdog has concluded that the merger will not significantly reduce competition on the high street, however in findings reported this morning it was announced that the deal “may not be expected to result in a substantial lessening of competition”.

The Competitions and Market Authority have given the green light to the agreement, meaning that Poundland will buy 99p Stores for £55 million.

Poundland has opened about 600 stores since 1990 in the UK, Ireland and Spain and plans to launch 60 shops annually over the next two years in the UK and Ireland.