Select Medical Faces Probe Over $16.50 Cash-Per-Share Buyout Deal
Select Medical Holdings agreed to be acquired by an executive and director-led consortium for $16.50 in cash per share. Shareholder rights firm Halper Sadeh LLC is investigating potential fiduciary breaches and seeking increased consideration or disclosures on behalf of Select Medical investors.
1. Transaction Details
Select Medical Holdings Corporation agreed to sell all outstanding shares to a consortium led by its executives and directors at a price of $16.50 in cash per share.
2. Investigation Initiated
Halper Sadeh LLC is investigating potential federal securities law violations and breaches of fiduciary duties related to the transaction, seeking additional disclosures, increased consideration and other relief on behalf of shareholders.
3. Potential Impact
If the probe leads to negotiated concessions or litigation, the deal’s closing timeline could be extended and terms adjusted, potentially changing the total value received by Select Medical investors.