An investor in shares of Pilgrim’s Pride Corporation (NASDAQ:PPC) filed a lawsuit over breaches of fiduciary duties by certain directors at Pilgrim’s Pride.
According to the complaint the plaintiff alleges that certain defendants breached their fiduciary duties when the entered into the agreement for Pilgrim’s Pride to acquired Moy Park.
On September 11, 2017, Pilgrim's Pride Corporation (Nasdaq:PPC) announced that it has acquired Moy Park, a leading poultry and prepared foods supplier with operations in the United Kingdom and Continental Europe, from JBS S.A., in a transaction valuing the equity interest of Moy Park at approximately $1.0 billion (or approximately £790 million based on a 1.31 exchange rate as of September 8, 2017), implying an enterprise value of approximately $1.3 billion (or approximately £1.0 billion). The transaction was approved by a Special Committee of the Pilgrim's Board of Directors. Comprised entirely of independent equity directors elected to the Board by a vote controlled by the shareholders unaffiliated with JBS S.A., the Special Committee was delegated the full authority of the Pilgrim's Boards of Directors with respect to the transaction.