A major retailer of office supplies headquartered right here in Naperville has announced a merger with one of its largest competitors.
Both OfficeMax and Florida-based Office Depot agreed to merge with a $1.7 billion stock transfer.
The transaction should create a stronger, more efficient company that will better be able to compete with other retailers in the office supplies industry, like top leader, Staples.
OfficeMax and Office Depot had combined revenue of $18.5 billion over the last fiscal year.
They expect to save 400 to $600 million per year for the first three years via layoffs and combined advertising.
Details as to how many layoffs will occur, where the headquarters of the new merger will be located, and the name of the combined entity have not yet been decided.
Neither party could be reached for comment.
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