As we had earlier predicted, this suit is a dead letter.
It is highly likely that the memorandum settling it requires essentially nothing of Merck or Idenix, other than a report. And (just perhaps) a small payment to defray attorneys' fees -- but none of that is certain -- or public yet. That is my conjecture, solely. So we shall see. The deal is still on target for a Q3 2014 closing. From the amended SEC filing tonight:
. . . .On July 24, 2014, Idenix, its directors and certain officers, Parent and Purchaser entered into a memorandum of understanding (the “MOU”) with the plaintiffs in the above-captioned actions reflecting an agreement in principle to settle the actions based on the agreement to include certain additional disclosures relating to the Offer and the Merger in Amendment No. 6 to the Schedule 14D-9 to be filed by Idenix with the SEC. Idenix, its directors and certain officers, Parent and Purchaser each have denied, and continue to deny, that they have committed, or aided or abetted the commission of, any breach of fiduciary duty or any law, or engaged in any of the wrongful acts alleged in such actions, and expressly maintain that they diligently and scrupulously complied with their fiduciary and other legal duties. The defendants in the actions, to eliminate the burden, expense, distraction and uncertainties inherent in further litigation, and without admitting the validity of any allegation made in such actions, or any liability with respect thereto, have concluded that it is desirable that the claims against them be settled on the terms reflected in the MOU. The terms of the settlement reflected in the MOU are subject to customary conditions including completion of appropriate settlement documentation, court approval and consummation of the Offer and the Merger. The MOU provides that all actions will be dismissed with prejudice as to all defendants. Pursuant to the terms of the MOU, the parties expect to execute a stipulation of settlement, which will be subject to approval by the court, following notice to holders of Shares. There can be no assurance that the settlement will be finalized or that the court will approve the settlement. . . .
So it goes -- have a great Friday, one and all. I'm largely off grid, tomorrow.
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