Urethane Blog
Tempur Sealy Update
September 23, 2024
Tempur Sealy issues an update on proposed Mattress Firm acquisition and divestitures
Sep. 23, 2024 7:01 AM ETTempur Sealy International, Inc. (TPX) StockBy: Clark Schultz, SA News Editor
Tempur Sealy International (NYSE:TPX) provided an update on Monday in regard to the company’s agreement to acquire Mattress Firm Group Inc. The deal is currently being challenged in federal court by the Federal Trade Commission.
The company said the litigation process continues to progress, with hearings currently scheduled to begin on November 12, and is expected to last about two weeks.
Looking ahead, Tempur Sealy (TPX) said it continues to believe that a successful litigation process can be completed in the coming months, which would allow the transaction to close in late 2024 or early 2025, consistent with previous expectations.
In connection with the planned Mattress Firm acquisition, Tempur Sealy (TPX) has entered into a purchase agreement with MW SO Holdings Company for the sale of 73 Mattress Firm retail locations and the company’s Sleep Outfitters subsidiary, which includes 103 specialty mattress retail locations and seven distribution centers. Tempur Sealy (TPX) will continue to supply its Tempur-Pedic, Stearns & Foster, and Sealy products to the divested Mattress Firm and Sleep Outfitters stores. The divestiture was noted to be subject to the closing of Tempur Sealy’s (TPX) acquisition of Mattress Firm and other customary closing conditions. It is expected to close approximately one quarter after the closing of the Mattress Firm transaction.
CEO statement: “As part of our engagement with the FTC on the proposed acquisition of Mattress Firm, we conducted a divestiture process, which led to an agreement with Mattress Warehouse, a company with extensive mattress retail experience, a strong capital base, and a capable leadership team.”
Sign Up for Email Updates
Everchem Updates Archive