Verso-NewPage Deal Will Face Antitrust Hurdles, Analyst Predicts

The U.S. Department of Justice is likely to delay or even block the proposed merger of NewPage and Verso Paper, according to a news service that focuses on bankruptcy issues.

Because the deal may increase the likelihood of both post-merger unilateral effects and coordinated capacity reduction and price increases, DOJ is almost certain to issue a second request” for information, The Capitol Forum wrote in a Jan. 24 analysis.

“At a minimum, this will delay closing for several months, and could lead to a DOJ move to block the deal outright.”