In the Matter of Staples/Essendant, Inc., File No. 1810180 #01228

Submission Number:
01228
Commenter:
Valerie Henderson
State:
California
Initiative Name:
In the Matter of Staples/Essendant, Inc., File No. 1810180
This Staples/Essendant merger is being used to monopolize a particular market. That's anti-free enterprise. I thought there were laws to prevent this sort of thing? Since there don't seem to be laws to prevent this anti-free enterprise activity, the FTC must step in to allow a free marketplace, and give Americans choices. Mergers such as with the Staples/Essendant merger are a threat to competition. The FTC needs to block these from happening. This is a private equity merger, which fund usually just wants to close or merge with opposition to remove any competition from the marketplace. Either they drive other companies out of business by taking them over and then closing their stores or they put so much debt on them that the merged company cannot survive. Thousands of people consequently lose their jobs. Private Equity funds have acquired companies so they can improve their own profit after a merger, but that profit comes about by destroying their competition and reducing employment opportunities. I also understand that one way they eliminate the rival companies is to put a lot of debt on them and then run them out of business as the debts are too high to keep up with especially after closing stores and reducing production. Please watch this syndrome carefully, don't allow America to be the country of nothing but a couple of companies running everything. That's what's happening with this and many other mergers (like with Toys R Us). And the Toys R Us going out of business meant tens of thousands of American jobs were lost. That kind of sudden unemployment can destroy a whole American community. Do you want China to be the only place Americans can buy diverse goods? Private equity funds have had a devastating effect on retail for America. Private Equity fund mergers are nothing but anti-competitive practices. Please have the FTC stop the Staples/Essendant merger and always study the anti-competitive practices of private equity when assessing private equity-driven mergers.