Unilever said Thursday that it has received a statement of objections over the deal from the commission, the European Union's executive arm and Europe's highest antitrust authority. However, a spokesman for the company said it remains "confident that a positive agreement can be concluded in the fourth quarter of 2010."

The maker of Ben & Jerry's ice cream, Dove soap and Cif household cleaner wouldn't disclose the contents of the statement of objections, the spokesman said. The commission wasn't immediately available to comment on the issue.

The regulator has blocked only two mergers in the past six years—Ryanair Holdings PLC's bid for Ireland's Aer Lingus Group PLC and a tie-up in the Portuguese electricity market—and is considered by Brussels lawyers to be reluctant to stop deals without very significant reasons. The commission initially resisted Oracle Corp.'s $7.4 billion bid for Sun Microsystems, sending out a statement of objections saying the deal would be bad for competition in the database sector. In the end, the regulator was forced to clear the deal without remedies in early 2010.

One London-based analyst said the objection to Unilever's deal could result in some small divestments to alleviate antitrust concerns. He said the news isn't likely to afffect the stock greatly, with investors focused on the group's second-half margins and resistance to both input costs and inflation.

The commission launched an in-depth inquiry into Unilever's proposed acquisition of Sara Lee's personal-care business in June. The antitrust regulator said an initial market inquiry into the deal had revealed potential antitrust concerns regarding a number of products including deodorants and fabric care.

It isn't unusual for the commission to send out formal antitrust charges once a probe has been pushed to the in-depth phase. The charge sheet gives the company an opportunity to know exactly where the problems lie, allowing it to address the issues before the commission takes its final decision.

The current deadline for the commission to clear or block the deal by has been scheduled for Oct. 5, but it is likely to be extended because of divestments offered in problem areas.

Unilever hopes the €1.28 billion cash deal, announced last September, will strengthen its operations in Western Europe and Asia, adding Brylcreem and Radox to its portfolio. It is the first major deal since Chief Executive Paul Polman
took the reins in January 2009.