FTC Acts To Prevent Interlocking Directorate Arrangement And Anticompetitive Information Exchange Between EQT And Quantum

The Federal Trade Commission has taken action to address antitrust concerns arising from a $5.2 billion cash-and-stock agreement between Quantum Energy Partners, a private equity firm, and EQT Corporation, a natural gas producer. FTC has approved a consent order aimed at preventing conflicts of interest and the exchange of competitively sensitive information between the two undertakings.

According to the FTC, Quantum Energy Partners and EQT Corporation are direct competitors operating in the Appalachian Basin, the largest natural gas-producing region in the United States. The proposed acquisition would result in Quantum becoming one of EQT's largest shareholders, granting it a seat on EQT's board of directors. To prevent an anti-competitive interlocking directorate arrangement and to ensure the market is competitive, FTC included several provisions in the consent order: