Cooper Tire loses court bid to rescue Apollo merger
Delaware: Cooper Tire & Rubber Co on Monday lost its court bid to force Apollo Tyres Ltd to complete their proposed $2.3 billion merger.
The Delaware Supreme Court dismissed Cooper`s appeal against an earlier ruling that Apollo was meeting its obligations to reach new contract terms with unions at Cooper plants in Ohio and Texas.
Apollo, which would become the world`s seventh-biggest tire maker after the merger, wants to pay less than the $35 per share agreed in June because of demands by unions at Cooper plants and disruptions at Cooper`s venture in China.
Under the terms of the merger Apollo can walk away from the deal on December 31.
The cases are Cooper Tire & Rubber Co v. Apollo (Mauritius) Holdings Pvt, CA8980, Delaware Chancery Court (Wilmington) and 624-2013, Supreme Court of Delaware (Dover).
Cooper Tire and Apollo Tyre could not be reached for comment.