NACCO Takes Legal Action Against Harbinger and Applica Nov 13, 2006

Printable format  Email this Article  Search

NACCO Industries, Inc. said it initiated litigation in the U.S. State of Delaware Chancery Court against Applica Incorporated and affiliates of Harbinger Capital. The NACCO complaint alleges a number of contract and tort claims against the defendants. NACCO is seeking specific performance of a merger agreement between Applica and a NACCO subsidiary, or, alternatively, the payment of monetary damages. NACCO also requested that the court order Harbinger to divest certain shares of Applica.

The suit relates to a merger agreement between NACCO and Applica. NACCO planned to spin off its electric housewares business Hamilton Beach/Proctor-Silex to merge with Applica. The agreement was terminated by Applica in October when Harbinger, already the largest Applica shareholder, announced intentions to purchase all remaining shares.

Back to Daily News