Playboy pays US$5.25m to shareholders

RANDALL CHASE
Last updated 14:03 20/03/2013

Relevant offers

World

Virgin Australia to cut capacity after forecasting a dip in fortunes 'Unhygienic' Australian bakery fined $68,000 Starbucks sued for $7.15 million over too much ice Sydney madam Jamelie Lahood pursued over tax bills Honeylab medicalā€grade kanuka honey a vanguard for pharmaceutical honey industry Google CEO Sundar Pichai sees the end of computers as physical devices Box of 'original' flavoured Arnott's Shapes selling on eBay for $60 Carl Icahn warns 'day of reckoning' approaches, sells entire Apple stake Venezuela declares 2-day workweek due to severe electricity shortages Drug-maker hands out world's highest chief executive pay package

A judge has approved the settlement of a class-action lawsuit over Playboy magazine founder Hugh Hefner's successful bid to take the company private.
 
In the settlement approved on Tuesday, shareholders of Playboy Enterprises Inc agreed to accept US$5.25 million ($6.38 million) in cash in return for dropping the lawsuit. After attorney fees and expenses, they'll receive about US$4m, or 17 cents per share.
 
Hefner proposed the buyout in 2010, offering US$5.50 a share for the roughly 30 per cent of Playboy's outstanding voting shares he didn't own.
 
Shareholders sued, saying the price was too low and that they weren't given enough information about the deal.
 
Hefner, backed by private investment firm Rizvi Traverse, later increased the bid to US$6.15 a share, an 18 per cent premium over the previous day's closing price.

Ad Feedback

- AP

Special offers

Featured Promotions

Sponsored Content