Lawsuit: Delek Deprives Investors of Details Surrounding Merger

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Delek US Holdings, Inc., a subsidiary, and seven members of Delek’s board of directors are facing a proposed class action lawsuit from a Delek shareholder who claims a proxy statement released by the company in connection with a merger violated the Securities Exchange Act of 1934.

From the complaint:

“While Defendants are touting the fairness of the Merger Consideration to the Company’s shareholders in the Proxy, they have failed to disclose certain material information that is necessary for shareholders to properly assess the fairness of the Proposed Merger, thereby rendering certain statements in the Proxy incomplete and misleading.”

The suit argues that the proxy statement fails to include the figures used in the company’s financial projections and the details of analyses performed by Delek’s financial advisor. Without this information, shareholders are unable to make informed decisions about whether to vote for the merger, the plaintiff claims.