THL’s $2.5 Billion Agiliti Buyout Draws Wave of Legal Challenges

Thomas H. Lee Partners LP exploited the inside track at Agiliti Inc. to squeeze out public investors with an unfair $2.5 billion deal, according to an unsealed lawsuit.

A pension fund is suing THL and Agiliti board members linked to the buyout firm, saying they gave minority investors no voice in the $10-per-share transaction that took the medical equipment maker private in May. The “myriad process failures” overseen by a conflicted financial adviser and a CEO who prioritized his own perks led to a lowball price, according to the court complaint made public Monday.

The suit is part of ...