Progress To Settle With CVO Holders Over $42M Loss

Law360, New York (November 2, 2011, 3:59 PM EDT) -- Progress Energy Inc. struck a settlement Wednesday to end a lawsuit alleging it stiffed holders of its contingent value obligations some $42 million by adopting an improper tax position in 2005 in violation of an agreement related to an earlier merger.

Under the agreement, Progress will pay M.H. Davidson & Co. and Davidson Kempner International Ltd. 75 cents per share for all of its CVOs. The companies sued Progress in New York federal court in August, accusing it of breaching its obligation of good faith dealing...
To view the full article, register now.



Case Information

Case Title

M.H. Davidson & Co. et al v. Progress Energy, Inc. et al

Case Number



New York Southern

Nature of Suit

Contract: Other


Colleen McMahon

Date Filed

August 9, 2011

Law Firms


Government Agencies

Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.