FanDuel founders gain ground in battle over withheld merger docs
By The Weekly Edge desk ·
Summary
A New York Supreme Court special master has ordered FanDuel's former owners and advisers to hand over certain withheld legal communications for confidential review, in a suit by co-founder Nigel Eccles and over 100 other plaintiffs. The plaintiffs claim KKR, Shamrock Capital and others undervalued FanDuel in its 2018 merger with Paddy Power Betfair's US business to wipe out ordinary shareholders, who received nothing as the $465.5m consideration fell short of a $559m preferred threshold. The ruling, which applies Scots law, does not decide the merits, which the defendants contest, and fact discovery must finish by 18 December.
Why it matters
The ordered confidential review advances access to withheld communications, but does not decide the plaintiffs’ claims.