Shearman & Sterling LLP multinational law firm headquartered in New York City, United States.

balance scale

Apr 06, 2016

Activism (Re)Defined: DOJ Files Complaint Against ValueAct for Alleged HSR Act Violation

Subscribe

Jump to...

 

In filing a complaint and seeking $19 million of damages against ValueAct for failing to file a premerger notification and observe the statutory waiting period pursuant to the HSR Act in connection with its 2014 purchase of Baker Hughes and Halliburton shares, the antitrust enforcement agencies have once again affirmed that they will read the HSR investment-only exemption narrowly. Unlike most investors facing HSR Act suits who choose to settle with the antitrust regulators in exchange for reduced fines, ValueAct reportedly plans to contest the DOJ’s actions, arguing that its actions are in compliance with the law.  If this occurs, it will be the first time the courts will have interpreted the scope of the investment-only exemption.  Until then, activist investors must tread carefully when relying on the exemption as it applies only when the investor’s sole intent in acquiring the shares is passive.

View full article, Activism (Re)Defined: DOJ Files Complaint Against ValueAct for Alleged HSR Act Violation

Authors and Contributors

Wayne Dale Collins

Of Counsel

Antitrust

+1 212 848 4127

+1 212 848 4127

Washington DC

Jessica K. Delbaum

Partner

Antitrust

+1 212 848 4815

+1 212 848 4815

New York

George Casey

Partner

Mergers & Acquisitions

+1 212 848 8787

+1 212 848 8787

New York

Scott Petepiece

Partner

Mergers & Acquisitions

+1 212 848 8576

+1 212 848 8576

New York