We are investigating the fairness of the proposed sale of Enstar Group Limited (NYSE: ESGR) (“Enstar”) to Sixth Street and other institutional investors for $338.00 per share in cash. The sales price is below Enstar’s prior closing price of $348.31 per share on July 26, 2024.
If you remain an Enstar shareholder and question the fairness of the price, you may contact to discuss your legal rights at no charge by completing and submitting the form below.
Why is there an investigation?
On July 29, 2024, Enstar announced that it had agreed to be sold to Sixth Street and other institutional investors for $338.00 per share in cash. According to a Form 8-K filed on November 13, 2023, Sixth Street already holds a 4.7% interest in Enstar after acquiring shares from another Enstar shareholder in a private transaction.
Notably, the sales price is below Enstar’s prior closing price of $348.31 per share on July 26, 2024.
Commenting on the transaction, Wilcox Research observed on SeekingAlpha that the deal is a “takeunder,” and called the board’s decision to unanimously recommend approval of the sale as “bizarre.”
“We are investigating whether the Enstar Board of Directors acted in the best interests of Enstar shareholders in approving the sale,” explained Joshua Fruchter, a founding partner of Wohl & Fruchter. “This includes whether the price agreed upon is fair to Enstar shareholders, as well as whether all material information regarding the transaction has been fully disclosed.”