In the News

Minority Shareholders can Snag a Sale

If you don’t own 100 percent of your company, you should assess whether you have some shareholder-related issues that could hinder a sale.

First, if the parties choose to effect the sale by purchase of stock, any minority shareholder could hold up the deal if you don’t have agreements in place that force them to accept terms agreed to by the controlling shareholders. This is because buyers almost always want to buy 100 percent of the outstanding stock. They don’t want to become partners with someone they don’t know. They also want to own all the stock to maximize the money they can make with the investment.

Atlantic Marine buy challenges local ship yards

BAE Systems’ willingness to spend $352 million to buy Atlantic Marine testifies to the Navy’s plans to expand at Mayport Naval Station and could lead to more work at Atlantic’s sprawling local shipyards.

At the same time, the entrance into the Jacksonville market of the British company’s deep pockets could make life even tougher for the two other ship repair and maintenance companies in the area, particularly as they wait out a dip in the market.

Lawsuit opposes Arena sale proposal

Some shareholders of Arena Resources Inc. are questioning the company’s $1.55 billion proposed sale to Oklahoma City-based SandRidge Energy Inc. despite a 17 percent premium on the stock price.

Law firms across the country are examining the deal, especially since Arena management said earlier this year that the Tulsa-based company was not for sale.

Various shareholders say they are wary because the proposed $40 per share acquisition price is 6 percent lower than the company’s stock price on March 1.