CytoDyn Board Pay Settlement Gets Judge’s Approval on Second Try

CytoDyn Inc. shareholders persuaded a Delaware judge to approve a settlement resolving allegations that current and former board members gave themselves “unjustified and oversized” stock awards at the expense of public investors.

Vice Chancellor Paul A. Fioravanti signed off Tuesday on an agreement to end derivative litigation in Delaware Chancery Court over the equity grants. The ruling comes about six weeks after Fioravanti rejected a previous version of the deal, citing concerns about the scope of the claims release.

The amended settlement, which includes legal fees of $4.1 million for the plaintiffs’ attorneys, will rescind about 5.4 million of ...