A Senomyx Inc. ex-shareholder sued its former senior leaders and financial adviser Needham & Co. in Delaware, blaming a bruising board battle for their decision to sell the artificial flavor maker to Swiss fragrance giant Firmenich for allegedly just a third of its fair value.
The board, shaken after “a handful of aspirational dilettante investors” waged a surprisingly successful proxy contest, let Needham “prey” on its impatience “to avoid ouster and ensure a favorable exit,” even if that meant a deal that badly undervalued Senomyx, the complaint says.
The result was a $73.5 million price tag for a company worth ...
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