Dr. Elizabeth M. Bailey provides testimony on behalf of ASSA ABLOY and Spectrum Brands in DOJ “Litigate the Fix” merger challenge

Two contrast steel architecture adjacent building, London, UK

Charles River Associates expert, Dr. Elizabeth M. Bailey, provided expert testimony and economic analysis on behalf of ASSA ABLOY AB and Spectrum Brands Holdings, Inc. in a “litigate the fix” merger challenge that was filed by the US Department of Justice (DOJ) in the US District Court for the District of Columbia. The trial, which ended after the parties entered into a settlement agreement, was overseen by US District Court Judge Ana C. Reyes.

Dr. Bailey provided economic analyses related to market concentration and competitive effects related to the proposed divestiture to Fortune Brands Innovations, Inc.

In US v. ASSA ABLOY AB et.al., DOJ sought to enjoin ASSA ABLOY’s $4.3 billion acquisition of Spectrum Brands arguing that the transaction would eliminate head-to-head competition on pricing, quality, and innovation related to the sale of residential smart locks and premium mechanical door hardware in violation of Section 7 of the Clayton Act. On May 5, 2023, DOJ and the parties entered into a settlement agreement, ending the merger litigation.

CRA’s team worked closely with attorneys representing ASSA ABLOY AB at Hogan Lovells LLP, including Justin Bernick, Lauren Battaglia, and Charles A. Loughlin, and Cleary Gottlieb Steen & Hamilton LLP including David Gelfand and Daniel Culley, as well as attorneys representing Spectrum Brands Holdings, Inc. at Davis Polk & Wardwell LLP, including Howard Shelanski and Gregory Morrison.