LONDON (Reuters) - Britain's competition watchdog said it was likely to give the go-ahead to pub group Green King's (>> Greene King plc) takeover of rival Spirit (>> Spirit Pub Co PLC) in light of an offer by the former to sell a total of 16 pubs.

The Competition and Markets Authority (CMA) had earlier this month said it would undertake an in-depth investigation of the 774 million pound deal unless the companies offered to dispose of pubs in a small number of areas where there was no alternative.

It said on Tuesday that the proposed disposals might be acceptable, and it would make a decision by July 21.

Of the 16 pubs identified to be sold, nine are Greene King pub and seven are Spirit, Green King said in a statement.

(Reporting by Paul Sandle; editing by Sarah Young)

Stocks treated in this article : Spirit Pub Co PLC, Greene King plc