8point3 Energy Partners Facing Securities Lawsuit Over Proposed Merger

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8point3 Energy Partners, LP is facing a proposed class action along with seven individual directors of managing company 8point3 General Partner, LLC. The suit, citing potential violations of federal securities laws, takes issue with an allegedly misleading proxy statement filed by the defendants in connection with a proposed merger between 8point3 and affiliates of Capital Dynamics, Inc. The complaint argues that the statement was missing information concerning 8point3’s financial projections and the valuation analyses performed by its financial advisor, Evercore Group, L.L.C.

Secondly, the lawsuit claims the statement was suspiciously silent regarding any potential conflicts of interest faced by Evercore, noting that the proxy failed to specify the amount of compensation the company had received for past services provided to 8point3 and its affiliates.

Finally, the complaint argues that the proxy statement neglected to disclose whether the confidentiality agreements provided to other prospective buyers contained provisions that prevented said parties from submitting superior offers for the company.