The Federal Trade Commission (FTC) has voted unanimously to authorize a lawsuit blocking Tempur Sealy’s planned $4 billion acquisition of Mattress Firm Group. The FTC argues that the merger would significantly suppress competition and enable the leading global mattress manufacturer to hike prices. According to Henry Liu, director of the FTC’s Bureau of Competition, “This deal isn’t about creating efficiencies; it’s about crippling the competition.” For more detailed information, visit the original article.
In response, Tempur Sealy has stated that the acquisition would lead to increased efficiencies rather than reduced competition, and plans to proceed with closing the deal by early next year. More statements from Tempur Sealy can be found here.