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Kraft Board, 3G Capital Win $1.2 Billion Insider Trading Appeal

Aug. 1, 2022, 5:45 PM

Kraft Heinz Co. board members and affiliates of 3G Capital, a major backer, defeated insider trading and related claims Monday, when Delaware’s top court rejected investor litigation over $1.2 billion in stock sales the asset manager made shortly before Kraft’s share price plunged.

The state’s justices upheld a ruling by Vice Chancellor Lori W. Will, who dismissed the case from Delaware’s Chancery Court, saying the pension funds leading the lawsuit failed to show that ties between 3G and the board would have made it futile to demand an internal investigation before suing.

The lawsuit, filed in 2019, targeted current and ...