FTC Sues to Block Henkel Bid for Rival Adhesive Maker (2)

The US Federal Trade Commission sued to challenge Henkel AG’s acquisition of part of Pittsburgh Paint Co., which is owned by private equity firm American Industrial Partners.

The $725 million transaction, which wasn’t publicly announced, would combine two of the largest players in the market for liquid adhesives used in construction and home repairs, the FTC said in a complaint filed in New York federal court Thursday. Henkel, the world’s largest manufacturer of adhesives, makes the Loctite and LePage brands; Pittsburgh Paint owns Liquid Nails.

The deal is the second involving the Liquid Nails brand in the past ...