FTC to sue to block Cintas-UniFirst deal, reportedly
CTAS•The FTC has indicated it will sue to block Cintas’ proposed $5.5 billion acquisition of UniFirst, Semafor reportedly said, citing people familiar with the matter. FTC staff have privately raised concerns about the companies’ combined market share, though the agency has not voted on whether to sue.
1. FTC concerns
The FTC has indicated to Cintas that it will sue to block its proposed $5.5 billion acquisition of UniFirst, Semafor reportedly said, citing people familiar with the matter. FTC staff have privately expressed concerns about the companies’ combined market share, but the agency has not yet voted on whether to sue.
2. Deal background
Cintas agreed in March to acquire UniFirst in a cash-and-stock deal. The companies are two of North America’s largest workwear and facility services providers. Cintas had made at least three formal approaches since 2022 and expected the deal to expand its reach and cut costs by combining delivery routes, plants and supply chains.
3. Shares fall
UniFirst shares fell 8% on Tuesday, while Cintas shares were down about 5%. The companies and the FTC did not immediately respond to requests for comment.
