Judge won't block vote on Delphi acquisition
DOVER, Del.—A Delaware judge has refused to halt a shareholder vote on the acquisition of Delphi Financial Group Inc. by Japan's Tokio Marine Holdings Inc.
Tokio Marine announced in December that it had agreed to buy the financial services company in a deal valued at $2.7 billion to strengthen its position in the U.S. property and casualty insurance market and enter the life insurance market.
Some Delphi stockholders challenged the deal because it gave Delphi founder Robert Rosenkranz a higher price for his Class B shares than public investors holding Class A shares would receive.
The judge ruled this week that the plaintiffs likely would succeed in arguing that Rosenkranz was not entitled to the differential, but that Delphi shareholders are still getting a premium and should be allowed to vote on the deal.