Opinion ID: 2273298
Heading Depth: 1
Heading Rank: 5

Heading: The Redemption of Plaintiffs' Booz Allen Stock

Text: If allowed to participate in the Carlyle transaction, the plaintiffs would have received materially more than the March 2008 (pre-transaction) book value of their Booz Allen shares. In April 2008, the Company redeemed the plaintiffs' shares at their pre-transaction book value (approximately $162.46 per share). [6] The April 2008 redemption of the plaintiffs' shares added nearly $60 million to the proceeds received by Booz Allen working stockholders. At the time of the redemptions, Booz Allen was awaiting the receipt of an IRS private opinion letter regarding the tax treatment of the transaction, [7] and the completion of an audit of financials for certain prior fiscal years (which had already been certified). None of the parties to the transaction expected that these events would present problems, and everyone anticipated that both would occur within a matter of days or weeks. The plaintiffs later filed these actions (which were later consolidated) in the Court of Chancery.