Chancery Court Update: Myriad Genetics Settlement Ruling
This week, the Delaware Chancery Court is set to decide on whether the proposed corporate governance changes at Myriad Genetics Inc. will be enough to address allegations of insider trading. Here’s what’s on the docket:
On Monday, the court will review In re Activision Blizzard Inc. regarding the $69 billion merger with Microsoft Corp. Chancellor Kathaleen St. Jude McCormick confirmed the merger in July, but now a Swedish state-owned pension fund is seeking a $15 million fee for causing the validation, a move contested by Microsoft and Activision.
Tuesday brings us to In re Myriad Genetics Inc. S’holder Derivative Litig., where Vice Chancellor Sam Glasscock III will deliver a ruling. The litigation accuses Myriad Genetics’ board of overstating earnings and hyping clinical trial results while selling stock at inflated prices. A proposed settlement includes corporate governance changes, and attorneys are seeking a $950,000 fee, pending Glasscock’s approval.
Stay tuned for the court’s decisions this week.
