FireEye Sued Over $1.2 Billion Private Equity Transaction (1)

A FireEye Inc. investor sued it in Delaware on Tuesday, seeking to investigate claims that its planned $1.2 billion deal with Symphony Technology Group, a private equity firm, would rip off public investors for the benefit of the cybersecurity company’s CEO.

The lawsuit stems from an all-cash transaction announced in June that would transfer FireEye’s product lines to STG while leaving subsidiary Mandiant Solutions behind as a “threat intelligence” company run by FireEye CEO Kevin Mandia.

The sale would effectively turn FireEye into Mandiant—which it originally bought from Mandia for $1 billion in 2013—with Mandia “left in charge and profiting ...