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Mergers & Acquisitions
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December 17, 2024
Worker Claims Merger Can't Nix Pa. Medical Pot Protection
An engineering company unlawfully fired a Pennsylvania worker after he tested positive for cannabis usage, even though the employer knew about the worker's medical marijuana prescription, according to a lawsuit filed in Pennsylvania state court.
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December 17, 2024
DOJ Antitrust Division Head Kanter Stepping Down Friday
The head of the U.S. Department of Justice Antitrust Division, Jonathan Kanter, announced his imminent departure Tuesday, leaving the agency after a little over three years and with a legacy of dramatically ramped-up monopolization enforcement, an extremely low tolerance for potentially problematic transactions and more aggressive criminal enforcement.
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December 17, 2024
T-Mobile-UScellular Link Will Help Consumers, Think Tank Says
A free-market think tank is urging the federal government to clear the way for T-Mobile's $4.4 billion purchase of UScellular's wireless operations, saying in a new report that because the smaller UScellular poses no real competitive threat to T-Mobile, the deal could carry significant consumer benefits through increased competition.
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December 17, 2024
Drug Co. Investor Sues In Del. Over $140M Insider Windfall
A pension fund investor in Cerevel Therapeutics Holdings Inc. has sued Bain Capital Investors LLC and other alleged insiders of the company in Delaware's Court of Chancery, accusing them of lining up a secondary offering in the biopharmaceutical venture before disclosure of its planned sale to AbbVie.
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December 17, 2024
Northwest Bancshares Buys Peer Penns Woods In $270M Deal
Dinsmore & Shohl LLP-advised Northwest Bancshares Inc. has agreed to purchase Stevens & Lee PC-led Penns Woods Bancorp Inc. in an all-stock deal valued at roughly $270.4 million, the organizations said Tuesday.
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December 17, 2024
Fuji Soft Favors KKR Offer Over Higher Bain Bid
Fuji Soft said in a statement Tuesday that it supports a buyout tender offer from U.S. private equity firm KKR that is worth about $4.15 billion and opposes a competing, higher bid from Bain Capital.
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December 17, 2024
Allianz Pulls $1.6B Bid For Singapore's Income Insurance
Germany's Allianz SE has withdrawn its all-cash offer to buy a majority stake in Singapore-based Income Insurance Ltd. for 2.2 billion Singapore dollars ($1.64 billion), citing opposition from the Singaporean government.
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December 17, 2024
Dutch Chipmaker To Buy Vehicle Connectivity Biz For $243M
NXP Semiconductors NV said Tuesday that it plans to buy Aviva Links, an in-vehicle connectivity business, for $242.5 million, to offer additional automotive network products.
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December 17, 2024
Carlsberg-Britvic £3.3B Deal Gets UK, EU Green Light
Antitrust authorities in the U.K. and Europe said Tuesday that they have cleared the planned £3.3 billion ($4.2 billion) takeover by Danish brewer Carlsberg of U.K. soft drinks maker Britvic PLC.
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December 16, 2024
Ginkgo Bioworks Investors Get Final OK Of $17.8M Settlement
Investors in biotech company Ginkgo Bioworks Holdings Inc. have gotten final approval for their $17.75 million deal to end proposed class action claims that the company and its leaders distorted Ginkgo's finances, mischaracterizing certain related party deals, to garner shareholder support for its merger with a special purpose acquisition company.
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December 16, 2024
TikTok Brings Sale-Or-Ban Fight To High Court
TikTok asked the U.S. Supreme Court on Monday to stay a federal law that would force its owners to divest from the wildly popular social media app or shut its U.S. operation down just before Donald Trump's inauguration, saying his administration should get a say in the app's fate.
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December 16, 2024
'Plans Do Matter,' Tempur Sealy Says In Final Merger Hearing
Tempur Sealy made its final push Monday in support of its $4 billion planned Mattress Firm purchase, telling a judge during closing arguments that the Federal Trade Commission hadn't shown that the company planned to deviate from its intent for Mattress Firm to remain autonomous.
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December 16, 2024
Merger Enforcers End Year On Upswing
The Biden administration's antitrust enforcers have boasted that one side effect of their aggressive approach to merger enforcement has been helping stop problematic deals from being cut in the first place, but the agencies also scored key court rulings blocking transactions in their final year that could have a more enduring effect.
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December 16, 2024
Court Approves Mandated $115M Door Factory Sale
A Virginia federal court has approved the planned $115 million sale of a door-skin manufacturing plant after a landmark order forced Jeld-Wen to unload the factory in a long-running private antitrust case by rival Steves & Sons Inc.
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December 16, 2024
Albertsons Says Kroger 'Squandered' $25B Merger Bid
The Kroger Co. Inc. "willfully squandered" opportunities to complete a now-blocked $24.6 billion mega-merger with Albertsons Cos. Inc., according to an unsealed five-count lawsuit in Delaware's Court of Chancery potentially seeking billions in damages.
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December 16, 2024
US Lends $9.6B To Build EV Battery Plants In The South
The U.S. Department of Energy has agreed to loan Ford Motor Co. and South Korean battery manufacturer SK On up to $9.63 billion for a joint venture that includes building electric vehicle battery plants in Tennessee and Kentucky, according to a Monday statement.
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December 16, 2024
Honeywell May Split Aerospace Biz Amid Activist Pressure
Honeywell International Inc. on Monday said it is mulling a separation of its aerospace business, after activist investment firm Elliott Investment Management LP in November pushed for the industrial conglomerate to separate itself into two independent companies.
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December 16, 2024
3 Firms Guide Goldman Sachs On Buying Synthon Stake
The alternative investment arm of Goldman Sachs said Monday that it plans to buy a majority stake in the drugmaker Synthon from British investment firm BC Partners LLP, in a deal that values the Dutch company at a reported €2 billion ($2.1 billion).
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December 16, 2024
Gibson Dunn Guides Vera Wang In Sale Of IP To WHP Global
New York-based brand management firm WHP Global, advised by Kirkland & Ellis LLP and Pryor Cashman LLP, on Monday announced that it has agreed to buy all the intellectual property of Gibson Dunn & Crutcher LLP-advised luxury designer brand Vera Wang.
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December 16, 2024
Anglo American-Backed Engine Tech Co. Files Ch. 11
A developer of hybrid electric hauling equipment has filed for Chapter 11 protection in Delaware bankruptcy court with nearly $98 million in debt and an agreement with its secured lender and parent, mining company Anglo American, to pursue a sale.
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December 16, 2024
Gov't Approves £3.6B Royal Mail Sale To Czech Tycoon
A conglomerate controlled by Czech billionaire Daniel Křetínský said Monday that its planned £3.6 billion ($4.5 billion) purchase of Royal Mail's parent has moved a step closer to delivery after the U.K. government approved it — with several conditions.
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December 13, 2024
Medical Device Co. Brass Hid SPAC's True Value, Suit Says
The executives and directors of a healthcare holding company have been hit with a shareholder derivative suit in Colorado federal court alleging the company hid the financial and regulatory risks it faced to inflate its value after merging with a blank check company.
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December 13, 2024
Canadian Gold Mining Co. Beats Investor Suit Over M&A Plans
A New York federal judge on Friday granted a Canadian gold mining company a summary judgment win in a securities lawsuit accusing it of misleading investors about its corporate acquisition strategy, saying statements a California investor challenged didn't exclude the possibility of acquiring another company if the right opportunity arose.
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December 13, 2024
UK Litigation Roundup: Here's What You Missed In London
This past week in London has seen a group of franchise operators hit Vodafone with a £120 million ($151 million) claim for allegedly imposing commission cuts, green energy tycoon Dale Vince pursue another libel action against the publisher of the Daily Mail, and parcel delivery giant Yodel face a claim by an investor that helped save it from collapse earlier in the year.
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December 13, 2024
SEC's Corporation Finance Director Gerding To Step Down
The U.S. Securities and Exchange Commission announced Friday that the head of its Division of Corporation Finance, who oversaw the finalization of controversial new rules covering environmental disclosures and share repurchases, will leave the agency at the end of the year.
Expert Analysis
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Building US-Japan Relationships In The M&A Market
The prospect of U.S.-Japanese mergers and acquisitions presents stronger competition to U.S. investors in the global M&A markets, while also opening up an additional exit route for sellers looking to offload strategic assets, says Nick Wall at A&O Shearman.
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Litigation Inspiration: Honoring Your Learned Profession
About 30,000 people who took the bar exam in July will learn they passed this fall, marking a fitting time for all attorneys to remember that they are members in a specialty club of learned professionals — and the more they can keep this in mind, the more benefits they will see, says Bennett Rawicki at Hilgers Graben.
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Opinion
AI May Limit Key Learning Opportunities For Young Attorneys
The thing that’s so powerful about artificial intelligence is also what’s most scary about it — its ability to detect patterns may curtail young attorneys’ chance to practice the lower-level work of managing cases, preventing them from ever honing the pattern recognition skills that undergird creative lawyering, says Sarah Murray at Trialcraft.
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Key Takeaways From DOJ's New Corp. Compliance Guidance
The U.S. Department of Justice’s updated guidance to federal prosecutors on evaluating corporate compliance programs addresses how entities manage new technology-related risks and expands on preexisting policies, providing key insights for companies about increasing regulatory expectations, say attorneys at Debevoise.
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How Lucia, Jarkesy Could Affect Grocery Merger Challenge
While the Federal Trade Commission is taking a dual federal court and administrative tribunal approach to block Kroger's merger with Alberstons, Kroger's long-shot unconstitutionality claims could potentially lead to a reevaluation of the FTC's reliance on administrative processes in complex merger cases, say attorneys at Saul Ewing.
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$200M RTX Deal Underscores Need For M&A Due Diligence
RTX's settlement with regulators for violating defense export regulations offers valuable compliance lessons, showcasing the perils of insufficient due diligence during mergers and acquisitions transactions along with the need to ensure remediation measures are fully implemented following noncompliance, say Thad McBride and Faith Dibble at Bass Berry.
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Series
Round-Canopy Parachuting Makes Me A Better Lawyer
Similar to the practice of law, jumping from an in-flight airplane with nothing but training and a few yards of parachute silk is a demanding and stressful endeavor, and the experience has bolstered my legal practice by enhancing my focus, teamwork skills and sense of perspective, says Thomas Salerno at Stinson.
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Dealmaker Lessons From CFIUS' New Enforcement Webpage
The Committee on Foreign Investment in the United States’ recently launched webpage, which details the actions — and inactions — that led to enforcement activity, provides important insights for dealmakers about filing requirements, mitigation commitments and the cost of noncompliance, say attorneys at Dechert.
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Presidents And Precedents May Direct Khan's Future Course
While the Sept. 25 technical expiration of Federal Trade Commission Chair Lina Khan's term demands no immediate action, it does invite an analysis of commission policy and post-election possibilities, says Axinn's Richard Dagen, a former FTC official.
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What To Expect From Calif. Bill Regulating PE In Healthcare
A California bill currently awaiting Gov. Gavin Newsom's approval, intended to increase oversight over private equity and hedge fund investments in healthcare, is emblematic of recent increased scrutiny of investments in the space, and may affect transactions and operations in California in a number of ways, say attorneys at Ropes & Gray.
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Why Now Is The Time For Law Firms To Hire Lateral Partners
Partner and associate mobility data from the second quarter of this year suggest that there's never been a better time in recent years for law firms to hire lateral candidates, particularly experienced partners — though this necessitates an understanding of potential red flags, say Julie Henson and Greg Hamman at Decipher Investigative Intelligence.
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Google And The Next Frontier Of Divestiture Antitrust Remedy
The possibility of a large-scale divestiture in the Google search case comes on the heels of recent requests of business breakups as remedies for anticompetitive conduct, and companies should prepare for the likelihood that courts may impose divestiture remedies in the event of a liability finding, say Lauren Weinstein and Nathaniel Rubin at MoloLamken.
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Considering Possible PR Risks Of Certain Legal Tactics
Disney and American Airlines recently abandoned certain litigation tactics in two lawsuits after fierce public backlash, illustrating why corporate counsel should consider the reputational implications of any legal strategy and partner with their communications teams to preempt public relations concerns, says Chris Gidez at G7 Reputation Advisory.
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3 M&A Elements To Master In A Volatile Economy
The current M&A market requires a strategic approach to earnouts, past-due accounts payable and employee retention in order to mitigate risk and drive successful outcomes, says Robert Harig at Robbins DiMonte.
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It's No Longer Enough For Firms To Be Trusted Advisers
Amid fierce competition for business, the transactional “trusted adviser” paradigm from which most firms operate is no longer sufficient — they should instead aim to become trusted partners with their most valuable clients, says Stuart Maister at Strategic Narrative.