Tempur Sealy International, Inc. recently filed a complaint in the U.S. District Court for the Southern District of Texas, seeking to block the Federal Trade Commission's (FTC) administrative proceedings that challenge its merger with Mattress Firm Group Inc. The company argues that the FTC's separate administrative actions infringe on constitutional protections, as a federal court case is already in progress.
Recent reports now say that Tempur Sealy has filed a request with a Texas federal judge for a preliminary injunction to pause the Federal Trade Commission's (FTC) legal challenge to its $4 billion acquisition of Mattress Firm. The FTC is attempting to block the merger, arguing it could harm competition in the mattress industry.
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Tempur Sealy and Mattress Firm filed a motion asking the FTC to delay their administrative evidentiary hearing until February 9, 2025, to allow the court time to rule on the injunction request before the hearing takes place. They argued that this would reduce litigation burdens and avoid simultaneous proceedings. The request was granted, and the hearing was rescheduled for February 10, 2025.
Both parties have been instructed to file a status report by January 13, 2025, updating the court on the federal case's progress and its potential impact on the need for the administrative hearing.
This ongoing legal battle has been a significant delay in the merger process, which the FTC seeks to prevent. The next steps in the case will not take place until the new year, continuing the uncertainty around the proposed merger.
Source: www.hfbusiness.com