Corporate & Securities Law

Parmalat SpA?s latest settlement

By Werner R. Kranenburg

Today Parmalat SpA (Milan: PLT) announced it has settled the securities class action pending against it (SDNY). It will issue 10.5 million shares - ‘new’ according to AP, ‘existing’ according to WSJ - worth approximately ?24 million to the class. (press release, Forbes and see the FT, WV&Z archives)

The Guardian quotes Lead Counsel Grant & Eisenhofer PA’s Stuart M. Grant:

“We are very pleased with the settlement reached with the company, bringing total investor recovery obtained so far in the Parmalat case to approximately $90 million. […] We will also continue to press claims against other defendants whom we allege defrauded investors over a period of years prior to Parmalat’s ultimate collapse in 2003.”

So it’s not over yet for the class, nor for Parmalat that still is involved in other legal procedures of its own.

Full post as published by With Vigour and Zeal on May 02, 2008 (boomark / email).