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Home » FTC Contests Merger of Two Hydrogen Peroxide Makers

FTC Contests Merger of Two Hydrogen Peroxide Makers

August 6, 2019

The Federal Trade Commission has intervened in a proposed $625 million merger between two leading hydrogen peroxide manufacturers, citing concerns about the deal’s impact on the price of the compound used as an OTC antiseptic and for other purposes.

The FTC filed a complaint in federal district court Friday requesting a temporary restraining order and a preliminary injunction to block Evonik Industries’ proposed acquisition of  PeroxyChem. Both companies are large-scale manufacturers of the chemical, which has a wide range of uses depending on its concentration, including oxidation and bleaching.

The commission believes that a lack of competition between the two rival firms could harm competition in a market that’s long been prone to price-fixing.

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