The Austrian Takeover Commission has cleared the merger between Bank Austria and HypoVereinsbank, after weeks of uncertainty over whether it should be classified under takeover or merger law.

Last month it looked as though the €7.8bn ($7.1bn) deal may be blocked by Austria's takeover commission because of a law which says that if a company takes over more than 30% of a firm, as well as making a share offer, it must also make an alternative cash offer. The principle behind the law is that it ensures that smaller shareholders' interests are not ignored.