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| Protecting the Rights of Shareholders and Consumers |
Encore Acquisition Co. Securities Litigation
Encore Acquisition Co. (NYSE: EAC) shareholder litigation over alleged unfair takeover
On November 2, 2009, Encore Acquisition Co. (“Encore” or the “Company”) announced that it agreed to sell the Company to
Denbury Resources, Inc. (NYSE: DNR). Under the terms of the transaction, Encore shareholders will receive $15.00 in cash and
$35.00 in Denbury common stock for each Encore share they own. Denbury has also agreed to assume approximately $1.24
billion of Encore’s debt.
The investigation concerns whether Encore's Board of Directors have breached their fiduciary duties to stockholders by failing to
adequately shop the Company before entering into this transaction and whether Denbury is underpaying for Encore's shares,
thus unlawfully harming Encore's stockholders.
On November 2, 2009, Encore Acquisition Co. (“Encore” or the “Company”) announced that it agreed to sell the Company to
Denbury Resources, Inc. (NYSE: DNR). Under the terms of the transaction, Encore shareholders will receive $15.00 in cash and
$35.00 in Denbury common stock for each Encore share they own. Denbury has also agreed to assume approximately $1.24
billion of Encore’s debt.
The investigation concerns whether Encore's Board of Directors have breached their fiduciary duties to stockholders by failing to
adequately shop the Company before entering into this transaction and whether Denbury is underpaying for Encore's shares,
thus unlawfully harming Encore's stockholders.
