LG Defends Post-Merger Board Ousters at ‘Hot Mess’ Ad Tech Firm

LG Electronics Inc. defended ousting senior leaders and board members at ad tech firm Alphonso Inc. after its merger with an LG affiliate as necessary changes to cleanse a toxic partnership.

Removing Alphonso’s three founders from the board in December 2022 and restructuring the company was necessary to resolve conflicts those executives initiated, an attorney for the affiliate, Zenith Electronics LLC, said Tuesday in post-trial arguments in the Delaware Court of Chancery.

The management changes also fell under the terms of the deal that Alphonso agreed to in the 2020 merger, said William Savitt of Wachtell, Lipton, Rosen & Katz. ...