Tredegar Says Brazilian Regulator Recommends Rejection Of Sale Of Terphane To Oben Group

(RTTNews) - Industrial manufacturer Tredegar Corp. (TG) announced Thursday that, as part of the Brazilian merger review process regarding the sale of Terphane to Oben Group, the General Superintendence of the Administrative Council for Economic Defense (SG-CADE) issued a non-binding opinion recommending the rejection of the transaction.

Following this first stage of the two-stage Brazilian merger review process for complex transactions, the case will now be submitted to the CADE Tribunal, in accordance with the customary Brazilian merger review process.

Once the case is submitted to the Tribunal, the parties are given a full opportunity to present evidence in favor of clearing the transaction.

The SG Opinion is not binding and the final decision regarding the transaction will eventually be rendered by the Tribunal, which will begin its independent analysis now.

CADE's maximum deadline for completing its review, analysis and delivering its final decision regarding the transaction remains no later than November 18, 2024.

On September 1, 2023, Tredegar inked a deal to sell its flexible packaging films business Terphane to Oben Group. The completion of the sale is contingent upon the satisfaction of customary closing conditions, including the receipt of certain competition filing approvals by authorities in Brazil.