Sovereign Shareholder Sues To Stop $3.6B Deal

Law360 (December 13, 2005, 12:00 AM EST) -- Sovereign Bancorp Inc.'s largest shareholder, Relational Investors LLC, has filed a lawsuit to stop a $3.6 billion deal between the bank, Spain's Banco Santander Central Hispano SA and Independence Community Bank Corp.

The lawsuit, brought in the Southern District of New York, claims that Sovereign's plan to sell a 19.8% stake to Santander for $2.4 billion violates provisions of a Pennsylvania antitakeover law.

Pennsylvania law requires individuals or groups that gain control of more than 20% of a company's stock to offer to acquire all of...
To view the full article, register now.
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.