A lawsuit filed in federal court alleges the proposed $2.4B Meredith-Media General merger will be a good deal for Meredith C-suite executives and majority company shareholders, but not so for minority shareholders.
The proposed transaction “was approved by a majority-interested board who stood to profit from windfall financial benefits from change of control payments and cashing out their equity interests, as well as lucrative post-deal employment positions with the merged entity,” according to the lawsuit, filed in the U.S. District Court for the Southern District of Iowa on behalf of Meredith shareholder Mary Mundy of Mount Carmel, Ill.
