American Capital Strikes $18M Settlement In Stock Drop Suit

Law360, New York (May 10, 2012, 9:04 PM EDT) -- A class of investors asked a Maryland federal judge on Thursday to approve an $18 million settlement with private equity firm American Capital Ltd., which it accused of making false and misleading statements to artificially inflate the company's stock price.

The class, which won preliminary certification in February, asked U.S. District Judge Peter J. Messitte to grant final approval to the settlement, which would cover investors who bought American Capital common stock between October 2007 and November 2008.

The proposed settlement would reserve $18 million for...
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