European Union Approves Staples’ Acquisition Of Office Depot
Staples, Inc. has received approval from the European Union to acquire Office Depot. Staples participates in the promotional products industry as distributor Staples Promotional Products (UPIC: AMER0016).
“This is a significant step, and we’re very pleased that the European Commission has approved this transaction,” says Ron Sargent, chairman and CEO of Staples, Inc. “The acquisition has been approved in Australia, New Zealand, China and Europe. Regulatory agencies around the world understand that this acquisition will allow Staples to provide increased value and service to customers of all sizes. We look forward to a full, impartial judicial review in the United States.”
The acquisition is approved on the condition that Staples divest Office Depot’s European contract business and its operations in Sweden. Staples will also divest Office Depot’s retail, online and catalog operations in Europe in connection with closing the transaction. The divestitures are subject to the closing of the acquisition.
In North America, the merger faces ongoing litigation with the U.S. Federal Trade Commission and the Canadian Competition Bureau. Staples and Office Depot recently announced the completion of financing arrangements and the extension of their merger agreement from February 4 to May 16.