Gimbel v. Signal Companies, Inc.

QUILLEN, Chancellor:

This action was commenced on December 24, 1973 by plaintiff, a stockholder of the Signal Companies, Inc. (“Signal”). The complaint seeks, among other things, injunctive relief to prevent the consummation of the pending sale by Signal to Bur-mah Oil Incorporated (“Burmah”) of all of the outstanding capital stock of Signal Oil and Gas Company (“Signal Oil”), a wholly-owned subsidiary of Signal. The effective sale price exceeds 480 million dollars. 1 The sale was approved at a special meeting of the Board of Directors of Signal held on December21, 1973.

The agreement provides…