Solutia Investor Tries To Stop $5B Eastman Chemical Merger

Law360, Wilmington (February 08, 2012, 7:19 PM ET) -- A Solutia Inc. shareholder lodged a putative class action Wednesday in Delaware court seeking to halt Eastman Chemical Co.'s $4.7 billion acquisition of the specialty chemical maker, saying the deal undervalues the company.

On Jan. 27, Kingsport, Tenn.-based Eastman said it would pay $22 in cash and 0.12 shares of its stock — about $3.4 billion — for each of St. Louis-headquartered Solutia's shares in a deal worth $4.7 billion when Solutia's $1.3 billion debt is added in.

But the deal’s announcement came on the very...
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