FTC challenge scuttles merger… | Chemical & Engineering News
Volume 94 Issue 27 | p. 14 | Concentrates
Issue Date: July 4, 2016

FTC challenge scuttles merger…

Department: Business
Keywords: mergers & acquisitions, pulp bleaching, competition

Superior Plus has called off its $982 million purchase of fellow Canadian chemical firm Canexus after a U.S. Federal Trade Commission move to block the deal. FTC contends the deal would have put more than half of North American sodium chlorate capacity under one roof and led “to anticompetitive reductions in output and higher prices.” Sodium chlorate is used to bleach wood pulp for paper. Superior said it was willing to divest sodium chlorate capacity to lower the combined firms’ market share. However, it could not work out an extension to the June 29 deal closing deadline

 
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