Chiquita shareholders will own 50.7% of the combined company, to be called ChiquitaFyffes, while Fyffes shareholders will receive the rest.
The merged entity would have annual revenues of $4.6B.
The transaction will help Chiquita lower its tax revenue, as the combined firm will be domiciled in Ireland.
However, the deal could spark antitrust fears, as four multinationals - including Chiquita and Fyffes - control 80% of the world's banana market. (PR)