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WASHINGTON (Reuters) - The U.S. Justice Department has sued to block a $4.3-billion deal by Assa Abloy AB to buy a division of Spectrum Brands Holdings Inc that makes residential door hardware, the department said in a statement on Thursday which said the deal could lead to higher prices for consumers.
The department said that Assa Abloy and Spectrum’s Hardware and Home Improvement division could mean higher prices and reduced innovation for homeowners who want to buy premium mechanical door hardware or smart locks.
“Competition between these two companies, which are two of the three largest companies in an already concentrated industry, has benefited American consumers in the form of lower prices and better quality,” said Assistant Attorney General Jonathan Kanter of the Justice Department’s Antitrust Division in a statement.
The complaint was filed in the U.S. District Court for the District of Columbia.
Reporting by Diane Bartz and Doina Chiacu; Editing by Paul Grant and Nick Zieminski
