Daily News

View All News

Pomeroy agrees to settle shareholder suit

August 24, 2009
Staffing Industry Analysts North American Daily News

Pomeroy IT Solutions Inc. (NASD: PMRY) agreed to settle a lawsuit filed by shareholder Kenneth Hanninen to prevent the company from being acquired by founder David Pomeroy II, according to a filing with the U.S. Securities and Exchange Commission.

The suit had claimed Pomeroy's board breached its fiduciary duty by pursuing the acquisition. The company said it did nothing improperly and is settling the lawsuit to avoid the expense of further litigation, according to the filing. The settlement includes an agreement to include additional disclosures on the merger in the company's proxy statement.

Pomeroy announced earlier this month that a Delaware court dismissed another lawsuit over the proposed acquisition.

Founder David Pomeroy II struck a deal earlier this year to buy the company for $6 per share.