Industrial gas makers Linde, Praxair abandon merger talks
Companies had been investigating merger since mid-August, but failed to come to understanding on governance
BERLIN—Industrial gas makers Linde AG and Praxair Inc. have abandoned their talks about a possible merger.
The two companies had announced preliminary talks in mid-August. On Sept. 12, Munich-based Linde said that “while the strategic rationale of a merger has been principally confirmed, discussions about details, specifically about governance aspects, did not result in a mutual understanding.”
Praxair, based in Danbury, Connecticut, issued a brief statement in which it “confirmed that its preliminary discussions with Linde AG regarding a potential merger have terminated.”
The companies sell gases used in a wide range of applications including manufacturing, food processing and the oil and gas industry.
Linde shares dropped sharply on the news, falling almost 8 per cent in Frankfurt trading. Praxair shares rose 53 cents to US$117.94 in morning trading in New York.