Bloomberg Law
Feb. 1, 2021, 7:52 PM

Medical Imaging Stock-Plan Investor Sues Over $164 Million Deal

Jacklyn Wille
Jacklyn Wille
Legal Reporter

A participant in Envision Management Holding Inc.'s employee stock ownership plan filed a proposed class action in Colorado federal court, claiming plan participants were forced to take on significant debt to overpay for the stock of their company.

The lawsuit, filed Jan. 29 in the U.S. District Court for the District of Colorado by Robert Harrison, takes aim at a 2017 transaction in which Envision’s former owners sold their shares in the company to a newly created employee stock ownership plan for $164 million. The ESOP took on about $154 million in debt to finance the deal, and it was ...