DCC has announced that it is to sell two businesses, Robert Roberts and Kelkin, to foods group Valeo in a €60m deal.

The deal is conditional on clearance from the Irish Competition Authority, and is on a debt-free and cash-free basis, payable in cash on completion.

Robert Roberts, which includes Findlater Wine & Spirits, and Kelkin have a long history in the Irish market, said Tommy Breen, DCC's chief executive.

“We expect them to continue to grow and develop under Valeo’s ownership,” he said.

Both Robert Roberts and Kelkin operate principally in the Irish market.

In the year ended 31 March 2014, the businesses generated combined revenue of €120m and combined operating profit of €7.3m, approximately 80% of the operating profit of DCC’s food and beverage division, according to a DCC statement.

DCC expects to realise a modest gain on disposal over the carrying value including goodwill.