Shareholders go to court

In a petition filed in a North Carolina US Federal court, Reynolds American Inc. shareholders have alleged the company and its directors are withholding important information regarding the company’s proposed acquisition by British American Tobacco, according to a Law360 story relayed by the TMA.

The shareholders said a proxy statement related to the proposed deal did not contain material information related to RAI’s financial projections and analyses of the proposed merger by its financial advisers Goldman Sachs.

In a note posted on its website on June 14, RAI announced a special meeting of shareholders to approve the terms of its takeover by BAT and related payments to RAI’s executives.

The meeting is due to be held on July 19 in Winston-Salem, North Carolina.

‘Subject to the satisfaction or waiver of the conditions as set out in the merger agreement, including approval by shareholders of both BAT and RAI, it is currently expected that the proposed transaction will close on or about July 25, 2017,’ the note said.