Schick razor maker abandons $1.4B deal for Harry's after FTC opposition
Federal Trade Commission said it would file a lawsuit to block the acquisition
(Reuters) - Schick razor maker Edgewell Personal Care on Monday scrapped its $1.37 billion deal for peer Harry's Inc after the U.S. competition regulator sought to stop the deal.
The Federal Trade Commission earlier this month said it would file a lawsuit to block the acquisition, arguing it would harm competition in the U.S. shaving industry.
"We are disappointed by the FTC's decision and continue to disagree with its position,'' Chief Executive Officer Rod Little said in a statement.
"Given the inherent uncertainty of a potential trial, the required investment of resources and time ..., we determined that proceeding with our standalone strategy is the best course of action for Edgewell,'' he said.
FTC SUES TO BLOCK HARRY'S SALE TO SCHICK OWNER EDGEWELL
The shaving market has long been dominated by Procter & Gamble Co, which makes Gillette brand razors, and Edgewell, which makes Wilkinson Sword and many private label razors. The market was shaken up by the entry of Harry's and Dollar Shave Club - bought by Unilever in 2016 - with their online-focused businesses.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
Edgewell said privately owned Harry's intended to pursue litigation against it.
CLICK HERE TO READ MORE ON FOX BUSINESS
(Reporting by Praveen Paramasivam in Bengaluru; Editing by Sriraj Kalluvila)