U.S. Judge Blocks Kroger-Albertsons Merger
(Reuters) – A U.S. judge blocked the pending $25-billion merger of U.S. grocery chains Kroger (NYSE:KR) and Albertsons (NYSE:ACI) on Tuesday, marking a significant victory for the Federal Trade Commission under President Joe Biden's administration.
Deals Terminated
| Deal | Value | Context |
|---|---|---|
| JetBlue-Spirit | $3.8 billion | JetBlue Airways (NASDAQ:JBLU) and Spirit Airlines (OTC:SAVEQ) scrapped their merger agreement in March 2024 after a U.S. judge blocked it in January over anti-competition concerns. |
| Tapestry-Capri | $8.5 billion | Tapestry (NYSE:TPR) abandoned its bid for Michael Kors owner Capri after a judge blocked the deal following a lawsuit by the FTC, preventing the creation of a U.S. luxury giant. |
| Avangrid-PNM Resources | $8.3 billion | Iberdrola's U.S. unit Avangrid Inc (NYSE:AGR) terminated its planned acquisition of rival PNM Resources in January 2024 due to failing to get necessary regulatory approvals. |
Deals Blocked
| Deal | Value | Context |
|---|---|---|
| Kroger-Albertsons | $25 billion | A U.S. district judge in Portland, Oregon, along with a Washington state court judge, blocked the merger between Kroger and Albertsons, leaving the companies to reconsider their options. |
Deals Under Scrutiny
| Deal | Value | Context |
|---|---|---|
| UnitedHealth-Amedisys | $3.3 billion | The U.S. Department of Justice and three states filed a lawsuit in November 2024 to block UnitedHealth's acquisition of Amedisys, citing competition reduction concerns in home health services. |
| Capital One-Discover Financial Services | $35.3 billion | New York Attorney General Letitia James is investigating whether Capital One's proposed takeover of Discover Financial Services violates state antitrust laws. |
| Nippon Steel-U.S. Steel | $14.9 billion | Nippon Steel's bid for U.S. Steel has faced opposition from both newly elected President Donald Trump and the outgoing Biden administration. |
| Tempur Sealy-Mattress Firm | $4 billion | The FTC announced in July 2024 that it plans to sue to block the merger between Tempur Sealy and Mattress Firm. However, Tempur Sealy expects to close the deal later this year or early 2025. |
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