Paramount-Skydance Deal Shareholder Damages Could Exceed $1.65 Billion, Pension Fund Says

CalSTRS argues Sony and Apollo’s $26 billion offer implies a “significantly higher value” and “greater damages” than the $15 per share used in an earlier calculation by investor Scott Baker

Paramount logo (Getty Images)
Paramount logo (Getty Images)

Paramount investor Scott Baker, who previously filed a proposed class action lawsuit in the Delaware Court of Chancery alleging the company’s pending $8 billion merger with Skydance could cost shareholders $1.65 billion in damages, is vying to be the lead plaintiff on the case.

But funds led by the California State Teachers’ Retirement System (CalSTRS) argued in a new filing that the total damages to shareholders could be much greater than that and that Baker “demonstrates a lack of financial sophistication in evaluating the fairness of the price.”

“The $15/share figure that Baker assumes to be the true, fair value is merely the nominal value the parties assigned to the consideration offered to Paramount’s Class B stockholders,” CalSTRS wrote in the Oct.

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