Edgewell Personal Care walks away from Harry's acquisition
Edgewell Pers.Care Dl-,01
€67.97
19:59 22/03/17
Razorblade manufacturer Edgewell Personal Care abandoned its planned $1.37bn deal to buy out rival Harry's after the Federal Trade Commission sought to stop the merger.
The regulator said earlier in February that it would file a lawsuit to block the acquisition, stating it would harm competition in the US shaving industry.
Edgewell's chief executive Rod Little said that given the "inherent uncertainty of a potential trial", as well as the required investment of resources and time, the group determined that proceeding with its standalone strategy was "the best course of action" for the group.
"We are disappointed by the FTC's decision and continue to disagree with its position," he noted.
Edgewell also said the privately-owned Harry’s intended to pursue litigation against it.
As of 1650 GMT, Edgewell shares had shot up 24.57% to $37.97 each.