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

Q&A: TCA Fund Management's Bob Press on Small-Cap Private Equity

Aug 25 2016 | 8:55pm ET

The emergence of private credit as a replacement for traditional bank financing...

Lifestyle

Kiawah: Island Reversal

Aug 24 2016 | 9:59pm ET

Looking for real estate investments but the typical real estate fare isn’t cutting...

Guest Contributor

Old Hill Partners: Embrace Illiquidity

Aug 9 2016 | 2:39pm ET

The age-old financial concept that higher yields are the result of higher risk and...