DirecTV Merger Burned Liberty Shareholders: Suit

Law360, New York (February 16, 2010, 3:40 PM EST) -- A hedge fund has filed a putative class action claiming that Liberty Media Corp. disenfranchised public shareholders while its chairman John C. Malone raked in over $160 million in a November merger with DirecTV Group Inc.

In a complaint filed Feb. 9 in the Delaware Chancery Court, Blackthorn Partners LP claim that Malone and his allies on Liberty's board structured the transaction so that it complied with the company's corporate governance rules.

In reality, according to the complaint, the complex transaction was structured to give Malone...
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