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Delaware Chancery Court Employs Transaction Price To Determine Fair Value In Appraisal Action

Shearman & Sterling

On December 16, 2016, Vice Chancellor J. Travis Laster of the Delaware Court of Chancery relied on the final deal price to determine the fair value of stock in Lender Processing Services, Inc. ("LPS"), in an appraisal action brought by shareholder petitioners after Fidelity National Financial, Inc. ("Fidelity") acquired LPS.

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Delaware Chancery Court Employs Transaction Price To Determine Fair Value In Appraisal Action

Shearman & Sterling

On December 16, 2016, Vice Chancellor J. Travis Laster of the Delaware Court of Chancery relied on the final deal price to determine the fair value of stock in Lender Processing Services, Inc. ("LPS"), in an appraisal action brought by shareholder petitioners after Fidelity National Financial, Inc. ("Fidelity") acquired LPS.

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Delaware Supreme Court Reverses And Remands Dell MBO Appraisal Decision, Finding The Trial Court Erroneously Disregarded The Deal Price

Shearman & Sterling

per share significantly undervalued the stock of Dell. 565, 2016 (Del. After a trial, the Court of Chancery had disregarded the deal price and instead applied its own discounted cash flow ("DCF") analysis, arriving at a valuation of $17.62 In re Appraisal of Dell Inc., per share reflecting an approximate 28% premium.

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Delaware Supreme Court Reverses And Remands Dell MBO Appraisal Decision, Finding The Trial Court Erroneously Disregarded The Deal Price

Shearman & Sterling

per share significantly undervalued the stock of Dell. 565, 2016 (Del. After a trial, the Court of Chancery had disregarded the deal price and instead applied its own discounted cash flow ("DCF") analysis, arriving at a valuation of $17.62 In re Appraisal of Dell Inc., per share reflecting an approximate 28% premium.

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Keeping Up with Delaware Appraisal Jurisprudence Since Aruba: Deal Price Reigns Supreme, But Will Recent Decision Lead to More Arbitrage?

Cooley M&A

To determine the fair value of Regal’s common stock at the effective time of the merger, the court reduced the deal price by $3.77/share, Following the adjustments for synergies and changes in Regal’s value between signing and closing, the fair market value of Regal’s common stock was determined to be $23.60/share,