![](https://www.pymnts.com/wp-content/uploads/2020/02/Chevron-Venmo-Texaco-App.jpg)
The $60 billion merger between Chevron and Hess has encountered significant turbulence as three lawsuits have been filed in the United States, raising concerns over the disclosure of key information related to the transaction.
The lawsuits, aimed at Hess, challenge the omission of crucial details in filings with the U.S. Securities and Exchange Commission (SEC). These legal actions focus particularly on an April 26 filing intended to solicit proxies for a shareholder vote scheduled for May 28. The lawsuits seek to halt the merger until Hess rectifies the alleged disclosure deficiencies.
In response, Hess disclosed additional information in a regulatory filing on Tuesday, aiming to address the plaintiffs’ claims and minimize further complications. Despite this, Hess maintains that the claims are “without merit.”
Among the newly added details, Hess revealed that Chevron’s proposal included an invitation for Hess CEO John Hess to join Chevron’s board post-merger. The updated disclosures also provided more clarity on how the acquisition price was determined and specified the transaction-related fees.
Read more: Chevron Completes Acquisition of Renewable Energy Group
The legal battles are taking place across multiple jurisdictions: the Court of the Southern District of New York, the Delaware Court of Chancery, and the Supreme Court of the State of New York.
“All of the defendants named in the matters believe that the matters are without merit,” Hess stated. “However, litigation is inherently uncertain, and there can be no assurance regarding the likelihood that the defense of the actions will be successful.”
Furthermore, Hess acknowledged the possibility of additional lawsuits related to the merger and the proxy statement, noting that several purported stockholders have already sent demand letters alleging similar disclosure issues.
Source: Rig Zone
Featured News
Congressional Committee Advances Bill to Prevent College Athletes from Being Deemed Employees
Jun 13, 2024 by
CPI
Google Faces Privacy Complaint from Austrian Advocacy Group
Jun 13, 2024 by
CPI
White House Nominates Christy Goldsmith Romero to Lead FDIC
Jun 13, 2024 by
CPI
ACCC Flags Major Concerns Over Sigma-Chemist Warehouse $5.9 Billion Merger
Jun 13, 2024 by
CPI
Microsoft President Brad Smith to Testify Before Congress on Security Breaches
Jun 13, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Healthcare Antitrust
May 31, 2024 by
CPI
AI and Antitrust Considerations in U.S. Health Care
May 31, 2024 by
CPI
Uncertainty in the Bottom Line: New Antitrust Scrutiny and Enforcement in Private Equity Transactions
May 31, 2024 by
CPI
Effecting M&A Diligence When Competitors Are Involved
May 31, 2024 by
CPI
AI, Pharmaceutical Sector, and EU Competition Law and Policy: What Does the Future Look Like?
May 31, 2024 by
CPI