Cloudera Sued by Pension Fund Eyeing $5.3 Billion Deal Challenge

A pension fund sued Cloudera Inc. in Delaware, seeking to investigate its $5.3 billion take-private sale to KKR & Co. and Clayton Dubilier & Rice LLC over concerns that billionaire activist investor Carl Icahn pushed the cloud computing company into a bad deal.

The lawsuit was filed in Delaware Chancery Court by the Local 464A United Food and Commercial Workers Union Pension Fund, which claims Icahn and Cloudera’s leaders will both get “unique” benefits from the buyout at the expense of public investors.

Icahn, whose previous sales of Cloudera stock drove down its price, saw the chance for a clean ...