Ademi LLP is investigating Tenneco (NYSE: TEN) for possible breaches of fiduciary duty and other violations of law in its transaction with Apollo.
Ademi LLP alleges Tenneco’s financial outlook and prospects are excellent and yet Tenneco shareholders will receive only $20.00 per share with an enterprise valuation of approximately $7.1 billion, including debt. The merger agreement unreasonably limits competing bids for Tenneco by prohibiting solicitation of further bids, and imposing a significant penalty if Tenneco accepts a superior bid. Tenneco insiders will receive substantial benefits as part of change of control arrangements.
We are investigating the conduct of Tenneco’s board of directors, and whether they are (i) fulfilling their fiduciary duties to all shareholders, and (ii) obtaining a fair and reasonable price for Tenneco.