One of the State's oldest's local newspapers, the Anglo Celt, has been acquired by Scottish newspaper group Dunfermline Press for €15 million.

The beneficiaries of the sale will be various members of the O'Hanlon family of Co Cavan who hold the majority of the shares. The O'Hanlon name has been associated with the paper since 1863.

The paper's first edition was published in 1846.

Dunfermline is buying the newspaper, plus a printing business, Celtrim Printing, and some property. The deal was negotiated by the Irish-born managing director of Dunfermline Ms Deirdre Romanes. Last year, it acquired the Meath Chronicle group for €30 million.

The managing editor of the Anglo Celt, Mr Johnny O'Hanlon, said he expected the acquisition to strengthen the position of the paper and allow it to modernise. He said the management team would remain in place.

By purchasing the Meath Chronicle group and the Anglo Celt, Dunfermline has acquired two printing operations and it may consolidate these into one operation as part of the deal.

The two papers have become part of a company called the Celtic Media Group, which has been set up by Dunfermline for its Irish interests. This group is expected to purchase further titles in Republic. It is believed to have backing from Bank of Scotland.

Before Christmas former Ulster Unionist MP Lord Kilclooney (Mr John Taylor) purchased four titles owned by the Midland Tribune group for €14.5 million.

This deal did not include the printing operations owned by the Midland Tribune group.