Geneve Holdings Sued Over $333 Million Independence Holding Deal

A former Independence Holding Corp. investor filed suit in Delaware, challenging the insurer’s $333 million take-private buyout by controlling stockholder Geneve Holdings Inc.

The proposed class action targets Geneve and three former IHC board members with ties to its parent company. It accuses them of hiring a conflicted financial adviser and keeping shareholders in the dark about the relationship between the buyout and three asset sales that freed up “absurd” amounts of cash beforehand.

Although investors approved the take-private deal itself, the asset sales weren’t put to a vote, and other minority shareholder protections—particularly a special transaction committee—were “too little, ...