Chancery Defends Use of Market Price Citing Recent High Court Rulings

BVLaw
Court Case Digests
May 21, 2018
7379 Computer Related Services, NEC
541519 Other Computer Related Services
shareholder dissent/oppression
beta, fair value, mergers and acquisitions (M&A), weighted average cost of capital (WACC), discounted cash flow (DCF), statutory appraisal, synergy, projections, capital asset pricing model (CAPM), arm's length, market analysis, efficient market

Verition Partners Master Fund Ltd. v. Aruba Networks, Inc. (Aruba II)
2018 Del. Ch. LEXIS 160
US
State Court
Delaware
Court of Chancery
Paul Marcus (petitioners); Kevin Dages (company/respondent)
Laster

Summary

Court of Chancery denies petitioners’ motion for reargument, finding that, in light of high court’s Dell and DFC decisions, the decision to use the unaffected market price as the fair value indicator was not so “ridiculous” or “absurd” as to indicate the Court of Chancery misapprehended the law.

See Also

Verition Partners Master Fund Ltd. v. Aruba Networks, Inc. (Aruba II)

Court of Chancery denies petitioners’ motion for reargument, finding that, in light of high court’s Dell and DFC decisions, the decision to use the unaffected market price as the fair value indicator was not so “ridiculous” or “absurd” as to indicate the Court of Chancery misapprehended the law.