The lawyers will be pleased.
NZ village operator Metlifecare goes before the High Court on Thursday in an attempt to force compensation at least from EQT Fund Management S.à.r.l, an $18B Luxemburg private equity fund.
In December EQT offered $7.00 a share to buy Metlifecare (listed on the NZX) and the board and shareholders agreed.
With the arrival of COVID EQT wants to back out, claiming a material change in the business – meaning profitability. In effect they walked away.
The shares today are trading at $4.34, a 38% drop in a $1B company.
The Metlifecare has asked its shareholders to support a claim for compensation, which the lawyers say is a good idea.
Watch this space.