The Delaware Supreme Court has dismissed Cooper Tire & Rubber Co.'s appeal of a lower court's partial ruling on the single issue of whether Apollo Tyres Ltd. used reasonable best efforts to reach an agreement with the United Steelworkers. The partial ruling was issued by the Delaware Chancery Court on Nov. 8.
"The Delaware Supreme Court yesterday decided not to hear Cooper Tire & Rubber Company's interlocutory appeal," the company said in a statement on Dec. 17.
"The Court's action was not a decision on the merits of the issue on appeal, but instead was a procedural ruling that returns the case to the Delaware Chancery Court. Both Cooper and Apollo will return to the Chancery Court for resolution of the remaining issues in the case filed by Cooper on Oct. 4.
"Cooper believes Apollo has breached the merger agreement and we will continue to pursue our legal options as we work to protect the interests of our company and our stockholders."
The company said it had not been made aware of hearing dates.
Apollo issued a statement on Dec. 16 which said the company was "pleased by the decision of the Delaware Supreme Court today, which did more than dismiss Cooper's appeal – the court decided the appeal was improvidently granted in the first place.
"Cooper's litigation strategy to date has done nothing but generate unnecessary cost for its shareholders and for Apollo, and compound the obstacles that Cooper's situation has created for this merger.
"Apollo continues to believe in the merits of the combination with Cooper and, notwithstanding Cooper's stated aim to continue to pursue its misguided legal claims, is committed to finding a sensible way forward, if possible."
