Ademi LLP is investigating Black Knight (NYSE: BKI) for possible breaches of fiduciary duty and other violations of law in its transaction with Intercontinental Exchange.
Ademi LLP alleges Black Knight’s financial outlook and prospects are excellent and yet Black Knight holders will receive only $85 per share, or a total market value of $13.1 billion, with consideration in the form of a mix of cash (80%) and stock (20%). The transaction agreement unreasonably limits competing bids for Black Knight by prohibiting solicitation of further bids, and imposing a significant penalty if Black Knight accepts a superior bid. Black Knight insiders will receive substantial benefits as part of change of control arrangements.
We are investigating the conduct of Black Knight’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 Black Knight.