Monday, August 19, 2019

DOJ blocks printing merger

My former employer successfully challenged a merger in the printing industry :
The U.S. Justice Department’s lawsuit opposing Quad’s acquisition of LSC focused on the “intense rivalry” between the two printers that has contributed to the multi-year trend of gradually declining prices for publication printing.

This kind of enforcement is designed to preserve competition. However, the delay and uncertainty surrounding the merger seems to have damaged one of the companies so it is not clear how much competition remains:
The aborted deal left LSC a damaged company. During the nine months when it appeared to be headed to the altar with Quad, it lost salespeople and customers, ...

HT:  Margaret

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