Erickson Air-Crane Investor Sues Over $250M Evergreen Deal

Law360, Wilmington (August 9, 2013, 6:22 PM EDT) -- A shareholder of aircraft company Erickson Air-Crane Inc. launched a derivative class action Thursday alleging that the recapitalization triggered by the company’s $250 million purchase of a helicopter operator was engineered by the private equity majority stakeholder to protect its investment at the expense of other stockholders.

Shareholder Edward Montgomery filed the lawsuit in the Delaware Court of Chancery claiming Oregon-based Erickson’s majority shareholder, private equity fund group ZM Funds, used the acquisition of highly leveraged Evergreen Helicopters Inc, a unit of Evergreen International Aviation Inc.,...
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