Shareholders Bridle At Plan To Take Playboy Private

Law360, New York (July 22, 2010, 2:37 PM EDT) -- Shareholders opposed to Hugh Hefner’s plan to take Playboy Enterprises Inc. private have filed at least two putative class actions that claim the proposed deal would injure the resurgent company’s investors.

Investors filed two separate suits Wednesday and Thursday in the Delaware Court of Chancery in an effort to block Hefner’s bid to take his racy empire private, contending that the future value of Playboy’s stock far exceeds the $5.50 share price being offered.

While Hefner plans to partner with Rizvi Traverse Management LLC and buy...
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