Shareholder Sues To Halt Fox-Disney Sale

Shareholder Sues To Halt Disney Fox Sale

The now seemingly inevitable sale of 21st Century Fox’s entertainment assets to Walt Disney Studios has triggered its first lawsuit from a shareholder.

Robert Weiss, leading other shareholders, filed his lawsuit on Friday in Delaware federal court. It alleges that a proxy statement filed on June 28th with the Securities and Exchange Commission omits or misrepresents the company’s financial projections and the data underlying financial valuation analyses from Goldman Sachs and Centerview Partners.

Specifically, the shareholder lawsuit complains about the absence of projections or forecasts for Hulu as well as earnings estimates for European broadcaster Sky in future years. It further contends that Goldman’s potential conflicts of interest have not been adequately disclosed.

The putative class action seeks to enjoin the transaction. Fox has declined comment about the lawsuit.

Source: THR Esq