Deals
Staples Drops After U.S. Moves to Challenge Office Depot Deal
- FTC rejects office-supply deal for second time in 20 years
- Agency says combination would hurt corporate customers
Staples-Office Depot Deal in Doubt as FTC Moves to Block
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Staples Inc. fell the most in over a year after the U.S. said it would challenge the office supply chain’s proposed takeover of Office Depot Inc., the second time in 20 years that antitrust officials said the tie-up would squelch competition and should be blocked.
Staples shares fell as much 14 percent, the most since May 2014, and Office Depot plunged as much as 18 percent after the U.S. Federal Trade Commission said Monday it is seeking to block the combination, which would leave just one national retailer of office supplies and raise prices for corporate customers who buy under contract.