Court Ruling Favors SCM
Hanson Trust PLC was indefinitely barred by a federal court on Saturday from acquiring any more shares in SCM Corp. or exercising voting rights of shares acquired after it withdrew its tender for SCM.
SCM, which has an agreement with Merrill Lynch and Co., to be acquired at $74 a share, or a total of $917.6 million, sought the restraining order on grounds that Hanson illegally and secretly acquired a large amount of SCM stock after ending a $72-a-share bid.
The ruling, by U.S. District Court Judge Shirley Wohl Kram, will restrain Hanson at least until a full hearing can be held on the charges.
Hanson testified that the largest chunk of SCM stock was acquired in a 1.1-million-share block from New York investor Ivan Boesky.