Edelman and Brunswick Group are working the merger of mattress makers Tempur-Pedic Inc. and Sealy Corp. in a deal to forge a $2.7B combination.
Tempur-Pedic CEO Mark Sarvary called the transaction a “transformational deal” that creates a company that will have “products for almost every consumer preference and price point, distribution through all key channels, in-house expertise on most key bedding technologies, and a world-class research and development team,” according to his statement.
Both companies are to operate separately, though “cost synergies” are projected to save $40M annually.
Dissident shareholder H Partners, owner of 16.6 percent of Sealy, opposes the merger, saying it “drastically undervalues" the company.” It reserves the option to file a suit to block the deal.”
Tempur-Pedic and Sealy contend that their transaction is a done deal with the backing of 51 percent of stockholders.
Edelman’s Michael Geller and Trevor Gibbons rep Tempur-Pedic, while Brunswick’s Stan Neve and Shahed Larson work for Sealy.