The US Federal Trade Commission (FTC) has challenged the proposed acquisition of Office Depot by Staples.
After much speculation over the past few days, the FTC has filed an administrative complaint that claims that the acquisition of Office Depot “would violate the antitrust laws by significantly reducing competition nationwide in the market for ‘consumable’ office supplies sold to large business customers for their own use”, and that it would lead to higher prices.
The deal has also been challenged by the Canadian antitrust authorities it has been revealed.
In response, Staples and Office Depot said they would contest the FTC’s decision, saying they “will demonstrate that the FTC’s decision is based on a flawed analysis and misunderstanding of the intense competitive landscape in which Staples and Office Depot compete”.
By Andy Braithwaite for OPI