Paratek’s $462 Million Novo-Gurnet Deal Hit With Legal Challenge

Paratek Pharmaceuticals Inc. ex-investors are challenging its $462 million sale to Novo Holdings A/S and Gurnet Point Capital LLC, saying its leaders took a lower price to increase incentive payments for themselves.

The lawsuit, made public Tuesday, targets five former Paratek board members, including its current CEO. They spurned higher offers and delayed the transaction to maximize payments tied to certain performance goals, sacrificing at least $85 million in overall deal value, according to the proposed class action filed in Delaware’s Chancery Court.

“Once the board decided to sell the company, its members had a duty to act as honest ...