Press Esc to close
Tuesday 03 March 2015
News updated at 2:23 PM IST
Weather
Max: 31.7°C
Min : 16.9°C
In Bengaluru
clear sky

Favourable 'partial ruling' given in spat with Cooper: Apollo

New Delhi, Nov 9, 2013 (PTI):
Apollo Tyres today said it has received a favourable 'partial ruling' from a US court in its dispute with Cooper Tire over their proposed USD 2.5-billion merger agreement. Reuters Photo

Apollo Tyres today said it has received a favourable 'partial ruling' from a US court in its dispute with Cooper Tire over their proposed USD 2.5-billion merger agreement and stated it is committed to finding a 'sensible way forward'.

"We are pleased that the Delaware Court has found that Apollo is not in breach of its merger agreement with Cooper Tire. Furthermore, the Court found that Apollo has used 'reasonable best efforts' to negotiate with the United Steelworkers (USW) and that, contrary to Cooper’s claims, 'nothing in Apollo’s conduct indicates buyer’s remorse'," Apollo Tyres said in a statement.

Apollo continues to believe in the merits of the combination and is committed to finding a sensible way forward, it added.

In October, Cooper filed a complaint in Delaware Court of Chancery to push for completion of their merger and stated that the Indian firm was seeking to delay an agreement with USW, which represents Cooper employees at facilities in Findlay, Ohio, and Texarkana, Arkansas.

Apollo had denied this but sought price reduction in the USD 2.5-billion deal citing problems related to the US firm’s operations in China and concessions to the workers’ union but was rejected by Cooper.

Earlier this week, Cooper had said it has reached tentative agreements with USW aimed at helping it close the deal with Apollo.

In June, Apollo had announced to acquire Cooper Tire & Rubber Co in an all-cash transaction valued at around USD 2.5 billion (nearly Rs 14,500 crore) and the merged entity was billed to become the seventh largest tyre maker in the world.

In a statement later in the day, Cooper Tire & Rubber Company said it is "disappointed with the decision of the Delaware Chancery Court that Apollo did not breach its obligation to expeditiously reach an agreement with the United Steelworkers per the terms of the merger agreement."

Cooper is assessing its options with respect to this decision and awaits the court's ruling on other open matters in this case, it added.


Go to Top

Photo Gallery
Cambodian artists presenting dance-drama at the International Ramayana Mela...

Cambodian artists presenting dance-drama at the International Ramayana Mela...

Cyclist at the Rajpath as the national capital received early morning showers in New Delhi...

Cyclist at the Rajpath as the national capital received early morning showers in New Delhi...

A waterlogged street after the early morning showers in the national capital...

A waterlogged street after the early morning showers in the national capital...

A train moves through snow covered railway track as the region received heavy snowfall in Anantnag..

A train moves through snow covered railway track as the region received heavy snowfall in Anantnag..

Artists dressed up as Hindu deities Lord Krishna and Radha play Holi...

Artists dressed up as Hindu deities Lord Krishna and Radha play Holi...

People throw coloured powder as they celebrate Lathmar Holi at Nandgaon...

People throw coloured powder as they celebrate Lathmar Holi at Nandgaon...

Prime Minister Narendra Modi with the new Chief Minister of Jammu and Kashmir Mufti Mohammad Syeed..

Prime Minister Narendra Modi with the new Chief Minister of Jammu and Kashmir Mufti Mohammad Syeed..

Sangakkara and Thirimanne celebrate beating England in their Cricket World Cup match...

Sangakkara and Thirimanne celebrate beating England in their Cricket World Cup match...

Sangakkara congratulates team mate Perera who celebrates talking the wicket of England's Morgan...

Sangakkara congratulates team mate Perera who celebrates talking the wicket of England's Morgan...

Pakistan players celebrate with wicket of Zimbabwe's Chamunorwa Chibhabha during ...

Pakistan players celebrate with wicket of Zimbabwe's Chamunorwa Chibhabha during ...

Copyright 2014, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bengaluru - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523