Gardy & Notis, LLP has been appointed by the Court as lead counsel for former stockholders of Primedia, Inc. challenging the merger of Primedia with affiliates of TPG Capital L.P. The case alleges that Kolberg Kravis Roberts & Co. L.P. and other Primedia insiders agreed to sell Primedia to another private equity firm, TPG Capital L.P., for an unfair price of $7.10 per share. The $7.10 per share merger price was recommended by an independent committee of Primedia's board of directors and approved by the full board. Plaintiff alleged that the merger price failed to reflect the value of derivative claims seeking disgorgement of KKR's insider profits from trades in Primedia securities at depressed prices.
Gardy & Notis, LLP achieved a $39 million settlement of the case, representing a per-share recovery to former Primedia stockholders of approximately $2.35 per share, or 33% more than the $7.10 per share merger price.
The case is In Re Primedia, Inc. Stockholder Litigation, C.A. No. 6511-VCL, Delaware Court of Chancery.
Further details regarding the settlement may be found at www.primediasettlement.com