Why Linde, Praxair Deal Has Sprung a Leak

Why Linde, Praxair Deal Has Sprung a Leak

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The transcript discusses the challenges faced by Linden and its partners in a merger deal due to US regulatory demands. The US regulators are scrutinizing a facility in Texas, which could breach a self-imposed threshold, making the deal less viable. Despite European approval, the US side remains a hurdle. The potential risk of strengthening competitors is also a concern. Analysts believe the merger will proceed to avoid unraveling complex negotiations.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the main concern of Linden and its partners regarding the US regulators' demands?

The demands are only focused on European assets.

The demands are too lenient and do not affect the deal.

The demands are beneficial for the merger.

The demands might lead to a breach of a self-imposed threshold.

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is one of the main challenges of walking away from the merger deal?

The European regulators would not approve the reversal.

It would be easy to reverse the sales agreements.

The US regulators would support the decision to walk away.

It would be more complicated and painful to unpack the agreed sales.

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Why is the merger described as a 'marriage of convenience'?

Because it is a strategic alliance with no regulatory challenges.

Because it is a temporary arrangement with no long-term benefits.

Because it is based on mutual love and respect.

Because it is maintained to avoid the complications of unraveling the deal.

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is a potential risk of the merger for Linden?

Facing no opposition from any regulators.

Losing all of its assets in Europe.

Gaining too much market power in the US.

Strengthening competitors to a point where Linden is weakened.

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What do analysts believe about the future of the merger?

The merger will be split into smaller deals.

The merger will be postponed indefinitely.

The merger will proceed despite the risks of unraveling.

The merger will likely be canceled due to regulatory challenges.