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US: Settlement for alleged M&A conspiracy moves forward

By  |  September 30, 2014

A federal judge has granted preliminary approval for a $590.5 million settlement offer that would end litigation against several private equity firms accused of colluding to keep the prices of merger and acquisition deals down.

According to reports, the potential class members will be notified within a month of the settlement. The suit was filed on behalf of investors that accuse Bain Capital, Blackstone Group, Goldman Sachs, KKR, Silver Lake Partners, Carlyle Group and TPG Capital of colluding to suppress buyout prices by agreeing not to outbid each other for takeovers.

The firms have not admitted wrongdoing under their settlements say reports.

The original suit was filed in 2007 and accused the companies of manipulating the M&A process ahead of the financial crisis.

Full content: Reuters

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