Del. Court OKs Limited Discovery On Possible Conflicts of Interest by Advisors

Ness Technologies Inc. (NSTC)shareholders challenging a proposed deal through which the company would be acquired by its largest shareholder, Citi Venture Capital International, may have “limited and focused” expedited discovery on whether financial advisers for the board and a special committee have potential conflicts of interests given their dealings with CVCI, the Delaware Chancery Court ruled Aug. 3 (In re Ness Technologies Inc. Shareholders Litigation).

However, Vice Chancellor John Noble denied the plaintiffs’ motion to expedite proceedings as to other claims, finding that they are not “colorable.” Generally, the court said, there is little in the plaintiffs’ ...