Law Firms, Shareholder Group Turn Skeptical Eye To Man-GLG Deal

May 26 2010 | 9:38am ET

In the nine days since the Man Group announced its plan to buy GLG Partners, only one shareholder lawsuit has been filed seeking to block the deal. But there could soon be a whole lot more.

Within days of the announcement, nine separate law firms announced investigations into the deal on behalf of GLG stockholders, according to the SPAC Report. Among the firms looking into whether there has been a breach of fiduciary duty are Brodsky & Smith, Bull & Lifshitz, Kendall Law Group and Levi & Korsinsky.

Investor advocacy group the Shareholder Foundation is also probing the deal.

While Man’s offer price for GLG shares was a 55% premium to their price just prior to the announcement, it is also a 52% discount to what GLG shares traded for when the London-based hedge fund went public in a reverse-merger on the New York Stock Exchange in 2007. At their peak, GLG shares traded at $13.90; Man wants to pay $4.50.


In Depth

GSAM’s Papagiannis on Liquid Alternatives

May 25 2016 | 5:07pm ET

The popularity of liquid alternatives strategies has blossomed in recent years,...

Lifestyle

From Modern Trader: Stephen Curry is a Black Swan

May 18 2016 | 7:43pm ET

What do the rise of the Internet, the sinking of the Titanic, 9/11, and Stephen...

Guest Contributor

LendingClub and the Question of Internal Hedge Funds

May 19 2016 | 8:42pm ET

Peer-to-peer lending platform LendingClub Corp. has been in the news since the firm...