28 March 2007 - A recent Delaware Court of Chancery opinion has identified some pitfalls to avoid in conducting a proper sale process. It also breaks new legal ground by requiring that certain management projections be disclosed to stockholders. Vice Chancellor Strine's opinion in the In re: Netsmart Technologies case (Del. Ch. March 14, 2007, C.A. No. 2563-VCS) enjoined the $115 million all-cash acquisition of Netsmart Technologies by two private equity firms until corrective disclosures are made regarding the conduct of the sale process and certain management projections are disclosed.
Related Capabilities
Latest Perspectives
-
June 072022
Market Trends 2021: COVID-19 from a Securities Law Perspective
Lexis Practical Guidance