Ademi LLP is investigating Kadmon (NASDAQ:KDMN), for possible breaches of fiduciary duty and other violations of law in its transaction with Sanofi.
Ademi LLP alleges Kadmon’s financial outlook and prospects are excellent and yet Kadmon shareholders will receive only $9.50 per share in cash. The merger agreement unreasonably limits competing bids for Kadmon by prohibiting solicitation of further bids, and imposing a substantial penalty of $60.125 million if Kadmon accepts a superior bid. Kadmon insiders will receive millions of dollars as part of change of control arrangements. We are investigating the conduct of Kadmon’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 Kadmon.