Tempur Sealy International's $4-billion bid to acquire Mattress Firm is intended to reduce competition in the mattress market, according to a recently unsealed Texas court document.
The document, part of the U.S. Federal Trade Commission (FTC) filings, includes a May 2022 presentation by CEO Scott Thompson that describes the deal as a way to 'eliminate future competition' and 'block future competition'. Although the presentation was meant for the board, it did not name Thompson explicitly.
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As previously reported, the FTC is attempting to block the acquisition, announced in May 2023, arguing that it would significantly harm competition. The commission's intervention is based on concerns that the merger would give Tempur Sealy undue control over the market by absorbing one of its key competitors.