Shareholders have dropped three class-action lawsuits against athenahealth over the proposed sale of the company, the Politico Morning eHealth newsletter reports.
The lawsuits, filed earlier this year, claimed athenahealth failed to disclose how it arrived at the sale price of $5.7 million — the figure private equity firm Veritas Capital and Elliott Management affiliate Evergreen Coast Capital agreed to pay for the company in November.
According to one of the lawsuits, athenahealth failed to disclose the financial projections it relied upon to arrive at the cost of the sale, as well as any potential conflicts of interest. That complaint was brought under a section of the Securities Exchange Act, which requires companies provide shareholders with a definitive proxy statement that helps ensure shareholders' rights are upheld during a merger or acquisition.
Becker's Hospital Review reached out to athenahealth for comment. This article will be updated as more information becomes available.