Cooper Tire's lawsuit against Apollo is dismissed
The Delaware Chancery Court once again has ruled in favor of Apollo Tyres Ltd. versus Cooper Tire & Rubber Co. And this time, the decision may end the legal battle between the companies.
Last week, the court dismissed Cooper's lawsuit, which was prompted by Apollo's decision to back out of its offer to purchase Cooper Tire's stock for $35 a share in June of 2013.
"Pursuant to the ruling by Vice Chancellor Glasscock on Oct. 31, 2014, that Apollo was not in breach of any of its obligations under the merger agreement, Apollo Tyres is pleased with last week's final dismissal of the Delaware litigation filed by Cooper Tire and Rubber against Apollo whereby Cooper has expressly given up all its claims against Apollo, thus vindicating Apollo’s case," said Apollo in an official statement. This brings to a conclusion all the legal action that had been initiated against Apollo, which had consistently and diligently attempted to resolve all the issues that came up, to close the deal as per agreement.
"Apollo Tyres will now pursue its organic growth projects in Eastern Europe and elsewhere without any overhang of the legal process in the United States."
Cooper pulled out of the deal in December of 2013, alleging Apollo had breeched it. Cooper then sued Apollo for $112 million, claiming it was owed that amount under the contract's buyout agreement.
For more information on the history of the lawsuit, check out these links: