Amerigroup Investors Sue Over $4.9B WellPoint Deal

Law360, Wilmington (August 17, 2012, 5:42 PM EDT) -- Amerigroup Corp. investors on Thursday launched a putative class action in Delaware Chancery Court alleging the health insurer's top brass breached their fiduciary duty by entering a $4.9 billion merger agreement with rival WellPoint Inc. through a flawed sales process that snubbed all other interested buyers.

According to the complaint, Amerigroup's directors approved the deal, which failed to maximize shareholder value, based on the far-from-disinterested advice of three top executives and financial adviser Goldman Sachs & Co.

“This action arises because everybody advising the Amerigroup board...
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