Sunday, July 16, 2006

Vigorous Defense, Again

According to news reports here (Austin Business Journal) and here (Austin American-Statesman), a class action lawsuit has been filed in Travis County District Court challenging the proposed acquisition of Encore Medical Corporation (NASDAQ: ENMC) by a subsidiary of Blackstone Capital Partners V L.P.

The American-Statesman article has a quote from Harry L. Zimmerman, Encore's Executive Vice President and General Counsel. Regular readers can guess what Mr. Zimmerman said:
The lawsuit is baseless and without merit, and we will vigorously defend it.
If only it was in a press release. . .

The deal, valued at approximately $870 million, was announced on June 30.

Encore Medical is a diversified orthopedic device company that develops, manufactures and distributes a range of orthopedic devices, including surgical implants, sports medicine equipment and products for orthopedic rehabilitation, pain management and physical therapy.

Blackstone Capital Partners V is one of the world's largest private equity funds, having raised over $15.6 billion in 2006.

The American-Statesman article indicates that Willie C. Briscoe of Provost Umphrey Law Firm LLP is counsel for plaintiff Louis Dudas in the litigation. According to the firm's website:
Although the Texas Board of Legal Specialization has certified only 10% of lawyers in Texas, every Senior Partner at Provost Umphrey Law Firm is Board Certified in Personal Injury Trial Law.
We can only assume that they will vigorously prosecute the litigation.

No comments: