The Firm is representing ten members of the board of directors of Biomet, Inc. ("Biomet") in connection with shareholder litigation related to the acquisition of Biomet.
On December 18, 2006, Biomet announced that it had entered into a Merger Agreement under which a private equity consortium composed of affiliates of The Blackstone Group, Kohlberg Kravis Roberts & Co., Goldman Sachs Capital Partners, and Texas Pacific Group had agreed to purchase all outstanding shares of Biomet for $10.9 billion, or $44 per share.
On December 20, 2006, two Biomet shareholders filed a class-action complaint in Indiana state court, naming as defendants the members of Biomet's board and the entities alleged to be involved in the purchase of the company. The complaint alleges that the board members breached their fiduciary duties (and that the members of the purchasing group aided and abetted that breach) in approving the Merger Agreement and the sale of the company at $44 per share.
On January 2, 2007, William Gervasio filed a similar complaint in New York Supreme Court. On March 26, 2007, the Honorable Bernard Fried granted a motion to dismiss the New York action in light of the prior pending Indiana action. Judge Fried explained that "[t]here is no dispute" that the previously filed Indiana action "concerns the same conduct, seeks the same or substantially similar relief, and involves the same defendants. Under these circumstances dismissal of this subsequently filed New York action . . . . is appropriate."
The Simpson Thacher team includes Mike Chepiga and Bill Efron.