By a GenomeWeb staff reporter
(GenomeWeb News) – Shareholders have filed a class action lawsuit against Illumina alleging a conflict of interest and a breach of fiduciary responsibilities in connection to Roche’s $5.7 billion hostile bid for the San Diego firm.
In a lawsuit filed in the Delaware Court of Chancery, plaintiffs alleged that by refusing to engage in negotiations with Roche before and after Roche made its hostile bid, Illumina had failed to act in the best interest of its shareholders. (read more… )
By Leigh Jones
* Class action over poison pill
* Alleges Goldman gave bad advice
* Alleges Goldman had conflicting financial interest
(Reuters) – A group of Illumina shareholders has filed a putative class action against the life sciences company alleging that its directors adopted a poison pill plan to thwart a takeover by Swiss drugmaker Roche Holding Ltd., based on bad advice from Goldman Sachs.
The lawsuit, brought on behalf of all Illumina stockholders, was filed Tuesday in Delaware Chancery Court. It alleges that Goldman Sachs had a conflicting financial interest in advising Illumina to reject Roche’s offer to buy the company and in advising the company to adopt a poison pill plan. The lawsuit asserts that Illumina had “inexplicably chosen to receive” Goldman’s advice even though it was conflicted. (read more… )