July 5, 2017

Delaware Chancery Court Approves $10 Million Settlement of Sauer Danfoss Class Action

On June 19, 2017, Vice Chancellor J. Travis Laster of the Delaware Chancery Court approved in full the $10 million settlement resolving shareholder litigation over the acquisition of Sauer Danfoss, Inc. by Danfoss A/S, its majority stockholder, in 2013.  The cash settlement of $10 million, reached less than one month before the trial in the litigation was scheduled to begin, increased the amount that Sauer-Danfoss stockholders received through the tender offer and merger by over 85¢ per Sauer Danfoss share.  At the June 16, 2017 Settlement Hearing, Vice Chancellor Laster stated that approval was an easy call:  “This is as straight down the middle of the fairway a settlement as you could get,”

Vice Chancellor Laster also approved the requests for legal expenses, attorneys’ fees, and a $5,000 incentive award for the named plaintiff in the case.  Vice Chancellor Laster stated, with respect to the fee request, that “I think you’ve done a nice job of not being greedy or aggressive,” and with respect to the requested expenses, that “You all put in a lot of freight and that’s not the type of freight one could expect you to carry.”

Sauer-Danfoss common stockholders who either tendered their shares of Sauer-Danfoss common stock between March 15, 2013 and April 11, 2013 in response to Danfoss’s tender offer, or had their shares of Sauer-Danfoss common stock converted as part of the short-form merger that occurred on April 12, 2013, must submit a claim form by September 14, 2017 to participate in the Settlement.  Copies of the claim form and other relevant documents and information concerning the Settlement are available at www.sauerdanfosssettlement.com.

Wolf Popper LLP was one of the court-appointed co-lead counsel in this litigation.  Chet B. Waldman, Joshua W. Ruthizer, and Sean M. Zaroogian prosecuted the action from Wolf Popper.