Tronox and FTC Seek Appeal Delay
Tronox and staff of the US Federal Trade Commission (FTC) have filed a joint motion with FTC Commissioners asking for a delay of the remaining appeal deadline with regard to the takeover of Cristal.
The titanium dioxide (TiO2) producer said the filing reflects progress in advancing discussions toward resolving the FTC’s competition concerns. The merger has been under intense scrutiny and opposition from US regulators since it was first announced in February 2017.
In its latest move to gain US clearance, Tronox has been negotiating to sell all of Cristal’s North American TiO2 business, including the Ashtabula complex in Ohio, to Ineos for $700 million. The proposed deal is intended to address the FTC’s competition concerns as Ineos would be a new entrant to the TiO2 market.
“Tronox and the staff of the FTC have made significant progress in our settlement discussions and all parties continue to work constructively and diligently to address concerns raised by the FTC,” said Jeffry Quinn, president and CEO of Tronox. “We continue to believe that Ineos’ demonstrated success in operating chemical businesses will inject new energy into the North American TiO2 industry to the benefit of consumers.”
The recent budget spat in the US has also held up the merger discussions as several key government departments, including the FTC, were partially closed from Dec. 22 until Jan. 25.
