{"id":158711,"date":"2021-01-20T01:09:26","date_gmt":"2021-01-19T22:09:26","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/office-depot-rejects-staples-offer-sends-counterproposal\/"},"modified":"2021-01-20T01:09:26","modified_gmt":"2021-01-19T22:09:26","slug":"office-depot-rejects-staples-offer-sends-counterproposal","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/office-depot-rejects-staples-offer-sends-counterproposal\/","title":{"rendered":"#Office Depot rejects Staples offer, sends counterproposal"},"content":{"rendered":"

“#Office Depot rejects Staples offer, sends counterproposal<\/strong>”
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Office Depot rejected a takeover offer from its archrival Staples on Tuesday, instead offering a counterproposal that it said would invite less scrutiny from antitrust regulators.<\/p>\n

The office supply chain said it would be open to combining its retail and e-commerce business with Staples, which would leave essentially one national office supply chain.<\/p>\n

Office Depot said its proposal would have a greater chance of gaining regulatory app<\/a>roval than Staples\u2019 idea of buying Office Depot for $40 a share, combining retail operations, and then selling Office Depot\u2019s business-to-business division to a third party.<\/p>\n

Office Depot generates about half its sales from its business-to-business segment.<\/p>\n

The argument is that combining retail operations carries less risk since there would be no third-party buyer to find to buy the B2B segment that would need to be cleared by regulators.<\/p>\n

\u201cI think this would be easier to get through the FTC,\u201d a DC antitrust source not involved in the merger told The Post.<\/p>\n

The DC source said when the Federal Trade Commission successfully sued to stop Staples in 2016 from buying Office Depot it did not focus on the retail market.<\/p>\n

\u201cIf this were a simple two-to-one merger, the FTC would have gone to court on those grounds,\u201d the DC source said.<\/p>\n

Instead, the FTC focused on how combining the two office supply giants would give them a nearly 80 percent share of the B2B market.<\/p>\n

Office Depot on Tuesday said combining the retail operations in a joint venture would \u201chelp maintain competitiveness against nontraditional retailers and optimize ongoing choices for consumers.\u201d<\/p>\n

\u201cAnother option would be an acquisition by Staples of ODP\u2019s retail and consumer-facing ecommerce operations for a price that enables our shareholders to benefit from such synergies,\u201d Office Depot said.<\/p>\n

Ken Thomas, an antitrust expert who was a Wharton faculty member for 42 years, told The Post he did not think regulators would allow the retail sides to merge.<\/p>\n

\u201cI went to every Costco, BJ\u2019s and Walmart and there are no real effective alternatives for the retail consumer than Staples and Office Depot,\u201d he said, when studying the 2016 merger.<\/p>\n

\u201cThere is no comparison for the full range of products,\u201d Thomas said. \u201cWhy not let Home Depot and Lowe\u2019s merge?\u201d<\/p>\n

He believed Sycamore Partners that owns Staples might be a year too late, and while this merger might have gotten through in some form during the Trump years of relatively light regulation, it is not going to happen now.<\/p>\n

Shares of Office Depot parent ODP on Tuesday rose 0.2 percent to close at $45.93.\n <\/p><\/div>\n

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Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

“#Office Depot rejects Staples offer, sends counterproposal” Office Depot rejected a takeover offer from its archrival Staples on Tuesday, instead offering a counterproposal that it said would invite less scrutiny from antitrust regulators. The office supply chain said it would be open to combining its retail and e-commerce business with Staples, which would leave essentially…<\/p>\n","protected":false},"author":1,"featured_media":158712,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/01\/staples-office-depot.jpg?quality=90&strip=all&w=1200","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[90020,70584,89129,77954],"class_list":["post-158711","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-1-19-21","tag-mergers-acquisitions","tag-office-depot","tag-staples"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/158711","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=158711"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/158711\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/158712"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=158711"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=158711"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=158711"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}