OVERLAND PARK, Kan.-At least six lawsuits have been filed by Sprint PCS shareholders against Sprint Corp. regarding the company’s plans to recombine its PCS and FON tracking stocks.
The lawsuits, which were filed in both New York and Kansas earlier this month, allege “breach of fiduciary duty in connection with the approval of the recombination, and seek injunctive relief or monetary damages,” according to a Sprint Securities and Exchange Commission filing. Sprint recently announced it was folding its PCS tracking stock under its FON tracking stock and that it would issue one-half a share of FON stock for each outstanding PCS stock.
Sprint noted it was confident any lawsuit in connection with the recombination was without merit and that it had consulted outside advisers in determining the deal’s structure.
