/ Industry, News / Cooper Tire deal with Apollo still in turmoil

Cooper Tire deal with Apollo still in turmoil

Linked In Share
Cooper Tire deal with Apollo still in turmoil

After a debate over the takeover led to a US law suit, it looks like Cooper Tire & Rubber Co. isn’t yet entitled to an order that would force Apollo Tyres Ltd. to pay a contractually agreed $35 a share for the company, as the judge pointed out in a weekend letter to lawyers.

Cooper must prove it had satisfied all the conditions of the $2.5 billion buyout agreement and whether it did so remains unresolved in litigation, Delaware Chancery Court Judge Sam Glasscock III wrote in a Nov. 9 clarification letter to lawyers.

“Cooper has failed to demonstrate a present entitlement to specific performance,” the judge wrote, referring to the $35-a-share payment.

After a three-day trial and closing arguments, Glasscock issued a preliminary ruling from the bench on Nov. 8, rejecting Cooper’s contention that Apollo delayed negotiations with Cooper’s United Steelworkers’ union and breached the agreement by acting in bad faith.

Cooper, based in Findlay, Ohio, sued Gurgaon, India-based Apollo after Apollo failed to complete the buyout by an Oct. 4 deadline and suggested the stock might we worth as much as $9 a share less. Cooper shares fell more than 11 % to $23.82 in Nov. 8 trading.

Another point of contention, Glasscock wrote, is whether Cooper can comply with a request that it provide third-quarter company financial results by Nov. 14, to satisfy Apollo’s lenders. The judge has said he’d try to release a fuller ruling on issues in the lawsuit within a few days.

Cooper’s options include agreeing to a lower price that would accommodate Apollo. Options for Apollo include paying a $112.5 million ‘‘reverse breakup fee” to walk away, according to Cooper’s complaint.

Via Bloomberg

by Aurel Niculescu (my Google+) - Monday, November 11th, 2013 - filed under Industry, News. Image credit: .
Linked In Share
Related Articles


Discuss: Cooper Tire deal with Apollo still in turmoil

Leave a Reply


















Inautonews Facebook PageInautonews RSS FeedInautonews TwitterInautonews Youtube Channel

Sign up to receive our email newsletter on your email. It's safe. No spam!

Nervous teams to sit out Saturday practice
Nervous teams to sit out Saturday practiceMar.13 (GMM/Inautonews.com) Television and trackside viewers face a questionable spectacle on Saturday morning at Albert ...
US: study sees rear camera better than sensors when backing
US: study sees rear camera better than sensors when backingA new study released by the Insurance Institute for Highway Safety, has found that rear camera reduce blind spots by up to 90% ...
UK holds a record number of vehicles on the road
UK holds a record number of vehicles on the roadAccording to the Society of Motor Manufacturers and Traders, while new car sales advanced to reach new heights, so did the number ...
Hyundai to make big trucks in China
Hyundai to make big trucks in ChinaThe South Korean automaker announced in a statement that it intends to join rival truck makers Daimler and Volvo AB in locally ...
GM offers $500 to owners of recalled cars that want a new one
GM offers $500 to owners of recalled cars that want a new oneThe No.1 US automaker is feeling the pressure coming from the ignition switch recall problems and decided to provide loaner ...
Volkswagen aims for 10 million sold cars in 2014
Volkswagen aims for 10 million sold cars in 2014As the Volkswagen Group last year increased its sales by 4.9 % to reach record 9.73 million vehicles delivered, it now expects ...
US: GM and Mazda make the best family vehicles
US: GM and Mazda make the best family vehiclesUS News & World Report says that with the steady rising pace of sales and the introduction of further new models, families ...
GM reveals it waited calling in a model even after it found about hazard in 2001
GM reveals it waited calling in a model even after it found about hazard in 2001General Motors has revealed in fillings that although its engineers knew about four fatalities in crashes involving the Saturn ...
UK: Bollore Group to invest in electric charging stations in London
UK: Bollore Group to invest in electric charging stations in LondonThe French Bollore Group announced in a press conference its IER unit that manages Paris’s Autolib auto-sharing program would ...
Ferrari FF by Oakley Design gets crashed in England
Ferrari FF by Oakley Design gets crashed in EnglandA modified Ferrari FF, signed by Oakley Design, has recently met its end in England, after its driver managed to crash ...
Mercedes-Benz B-Class facelift spied
Mercedes-Benz B-Class facelift spiedOur spy photographers have managed to capture a facelifted version of the B-Class on camera, while it was being tested, near the ...
Report: PSA state backed candidate for chairman also supported by Peugeot family
Report: PSA state backed candidate for chairman also supported by Peugeot familyAccording to a report coming from French newspaper Le Figaro, Louis Gallois, a French civil servant could most likely become ...
[VIDEO] Opel Astra Extreme gets new promo
[VIDEO] Opel Astra Extreme gets new promoOpel has released a new promotional video with the impressive Astra Extreme, which is showing the model in action, on the ...
Tesla hires Renault-Nissan’s chief spokesperson
Tesla hires Renault-Nissan’s chief spokespersonTesla Motors, the electric car maker that is betting its success on expansion to China, Europe and building a huge battery plant, ...
Seat Leon sporty body kit introduced in the UK
Seat Leon sporty body kit introduced in the UKSeat has recently introduced a sporty body kit for the new Leon generation in the United Kingdom, which is available for the ...
Read more automotive news


2013 Frankfurt Motor Show Live Images

Spy-Shots of Cars
Seat Leon sporty body kit 1
2014 corvette stingray crash 2
ferrari 458 italia 1
Mercedes-Benz A45 AMG by RevoZport and Mulgari 1
Citroen DS3 Benefit 1
Spied-Land Rover Baby Discovery RS Mule 001
Spied-Jaguar XE 001
2011-mclaren-mp4-12c-crash taiwan 1
Isuzu-D-Max-X-Runner-special edition 1
ferrari 458 speciale crash germany 1
koenigsegg_one1_dubai_police.ekhcm0ijeu0c4ccggk4kwck0o.a5fuq7lrqzkgc0ccw4ss08gso.th

More automotive from inautonews
A new study released by the Insurance Institute for Highway Safety, has found that rear camera reduce blind spots by up to 90% and are better overall than the old fashioned parking sensors at aiding the driver reverse. The IIHS, an group that is industry funded and aims to help automakers improve ...
read more
Inautonews Editors Section
Test Drive: Renault Captur 0.9 – TCe 90 – fast review
Test Drive: Renault Captur 0.9 – TCe 90 – fast review After we’ve tested almost all Renault Captur models, we decided to check out the 3-cylinder engine - 898 cc 66kw (90 hp) model. Why we’ve ...
Test Drive Fiat 500L Living – Review
Test Drive Fiat 500L Living – Review Who ever thought in 2007, when Fiat unveiled the new 500 citycar that the Italian automaker will ever build a seven-seater 500 model. Clearly, ...
Test Drive Fiat 500L Trekking – Review
Test Drive Fiat 500L Trekking – Review Fiat had a great success back in the 60’s with the 500 model. It was cheap, practical and equipped with a 479 cmc petrol engine – that’s why ...

Editors Section
Inautonews Editors Section
2011 Safest Cars [Video] 2011 IIHS Safest Cars [Video] 2011 EuroNCAP Safest Cars 2010 Safest Cars [Video] 2009 safest cars Euro NCAP

Latest in Safety US: study sees rear camera better than sensors when backingA new study released by the Insurance Institute for Highway Safety, has found that rear camera ... US senate panel to hold GM hearing in AprilWell, Mary Barra, the industry’s first female CEO seems to have its hands full these days, as ...
Safety Section