It was simply final April, that Decide Wolfson dominated in a Daubert listening to that choose specialists could be allowed to testify in a multidistrict litigation case, recognized as quantity 2738 and known as the Johnson & Johnson Talcum Powder merchandise Advertising and marketing, Gross sales Practices and Merchandise Legal responsibility Litigation. That ruling, as Cosmetics Design Editor Deanna Utroske reported, additionally gave the inexperienced mild to some 16,000 talc circumstances towards J&J.
Readers of Cosmetics Design will know that Imerys Talc equipped J&J with talc to be used in its child powder merchandise and was at occasions implicated in authorized circumstances contemplating the wonder maker’s legal responsibility in ovarian most cancers and associated deaths amongst ladies who used the merchandise for female hygiene.
J&J talc provider filed for chapter 11 chapter early final 12 months
Additionally in April 2019, the three Imerys subsidiary firms working in North America—Imerys Talc Americas, Imerys Talc Vermont, Inc., and Imerys Talc Canada—filed for chapter. As FinancierWorldwide.com defined on the time, “The businesses have filed for Chapter 11 within the US Chapter Court docket for the District of Delaware after evaluating a spread of methods to safeguard their long-term enterprise pursuits and handle their historic talc-related liabilities within the US.”
Giorgio La Motta, President of these three companies advised the press on the time of the chapter submitting, “This is an important, meaningful, strategic step for our business. After carefully evaluating all possible options, we determined that pursuing Chapter 11 protection is the best course of action to address our historic talc-related liabilities and position the filing companies for continued growth.”
He took care to reiterate the corporate’s stance on the security of talc after which defined that “it is simply not in the best interests of our stakeholders to litigate these claims in perpetuity and incur millions of dollars in projected legal costs to defend these cases.”
And he famous that “by deciding to file for Chapter 11 protection, we have laid the groundwork to efficiently resolve our historic talc-related liabilities and focus on our continued success in the industry.” The corporate together with their authorized advisors at Latham & Watkins LLP and administration consultants at Alvarez & Marsal projected rising from Chapter 11 within the first half of this 12 months, however that focus on got here and went through the pandemic.
A subsequent step for Imerys and their North American subsidiary talc firms
This week, Imerys obtained the go-ahead to promote the property of its North America talc companies to Toronto, Ontario – primarily based Magris Sources.
And within the firm’s media launch asserting as a lot, La Motta described the deal as “a major milestone in the North American Talc Subsidiaries’ path towards emergence from Chapter 11.”
“We believe the outcome of this sale process maximizes value of the assets to the benefit of all parties,” he says, including, “We look forward to working with Magris as we move towards closing, and remain committed to providing our customers with safe, high quality mineral products moving forward. Our leadership team would also like to extend our gratitude to Imerys Talc America’s employees for their hard work and focus throughout this process.”
As for the buying firm (based by Aaron Regent in 2012), Magris owns mining operations on 6 continents and has workplaces in not solely Canada, but in addition Chile and Peru, and can pay $223 million for the Imerys Talc property, in line with shearman.com.
Chairman and CEO of Magris, Aaron Regent, tells the press, “We are excited to acquire the North American Talc Subsidiaries, which are underpinned by high-quality, long-life assets that produce a variety of talc products for blue-chip customers in diverse industrial end markets. We have been extremely impressed by the quality and safety culture of the operations and workforce, and look forward to partnering with the existing management team to continue to grow this business.”
And Matthew Fenton, President and CFO at Magris, additionally sees the acquisition as a chance to additional develop the corporate’s enterprise on this area: “We look forward to welcoming the North American Talc Subsidiaries to the Magris family.”
“The combination of the North American Talc Subsidiaries and our existing niobium [Nb and no 41 on the periodic table of elements] business in Canada,” he says, “represents a unique opportunity to realize meaningful synergies and create an industrial minerals platform that Magris can continue to invest in and scale.”