Delaware Supreme Court Rebukes Chancery for Disregarding Deal Price

BVLaw
Court Case Digests
December 14, 2017
5045 Computers and Computer Peripheral Equipment and Software
423430 Computer and Computer Peripheral Equipment and Software Merchant Wholesalers
dissenting shareholder
expert testimony, fair value, breach of fiduciary duty, buyout, discounted cash flow (DCF), dissenting shareholder, going concern, merger price, statutory appraisal, projections

Dell, Inc. v. Magnetar Global Event Driven Master Fund Ltd. (II)
2017 Del. LEXIS 518
US
State Court
Delaware
Supreme Court
Prof. Bradford Cornell (petitioners); Prof. Glenn Hubbard (respondents)
Valihura

Summary

High Court rejects Chancery’s decision to disregard deal price entirely in favor of court’s DCF analysis; record belies Chancery’s finding that deal price undervalued company stock, High Court says, urging adoption of deal price as fair value on remand.

See Also

Dell, Inc. v. Magnetar Global Event Driven Master Fund Ltd. (II)

High Court rejects Chancery’s decision to disregard deal price entirely in favor of court’s DCF analysis; record belies Chancery’s finding that deal price undervalued company stock, High Court says, urging adoption of deal price as fair value on remand.

This article also appears in:
Business Valuation UpdateVol. 24 No. 2