Shareholders in LAN Airlines of Chile have approved the planned takeover of TAM Airlines of Brazil.

The decision was a formality and clears the way for the creation of the largest airline in South America and a major international carrier.

Brazil’s antitrust agency – the Council for Economic Defence (CADE) approved the takeover of TAM last week, following the green light from Chilean regulators in September.

LATAM Airlines Group – as the combined carrier will be know – will be created following a share swap scheduled for the first quarter of next year.