Deals
Massey Energy Stockholders Sue to Block Sale to Alpha
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Massey Energy Co. stockholders sued in federal court in Virginia to block the company’s sale to Alpha Natural Resources Inc. for $7.1 billion, alleging that the proposed acquisition undervalues the Massey shares.
In two separate lawsuits filed last week in U.S. District Court in Richmond, where Massey is based, stockholders said the buyout offer is the result of a “flawed and unfair process” and represents an “unfair price” of 1.025 shares of Alpha common stock and $10 in cash for each outstanding share of Massey’s common stock.