{
  "id": 9033132,
  "title": "Silver Lake sues Carl Icahn and hedge funds over Endeavor buyout",
  "url": "https://urgent.news/2026/09/21/silver-lake-sues-carl-icahn-and-hedge-funds-over-endeavor-buyout",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-21T23:12:27.000Z",
  "source": {
    "name": "Investing.com",
    "slug": "investing-com",
    "url": "https://www.investing.com/news/stock-market-news/silver-lake-sues-carl-icahn-and-hedge-funds-over-endeavor-buyout-4909738"
  },
  "original_language": "en",
  "account": "Private equity firm Silver Lake initiated legal proceedings on Monday, seeking to halt the actions of billionaire Carl Icahn and numerous hedge funds. The firm aims to prevent these investors from employing an obscure legal strategy known as appraisal arbitrage to profit from their position in Endeavor Entertainment, following Silver Lake's acquisition of the company in 2024 for $13 billion, or $27.50 per share. Delaware corporate law permits investors dissatisfied with a merger to file an appraisal action, which would evaluate the stock's fair value in a court setting and potentially prevent Silver Lake from paying out substantial amounts beyond the deal value.\n\nHedge funds engaged in appraisal arbitrage, a specialized investment strategy, seized upon the Endeavor deal after its announcement, leading to a surge in TKO Group Holdings' stock, which is a significant stake in Endeavor. The lawsuit claims that these hedge funds are exploiting the legal system for financial gain rather than being genuine dissenters. Silver Lake argues that the hedge funds are opportunistic arbitrageurs, taking advantage of the situation without dissent or legitimate grievances.\n\nDespite Silver Lake's claims, Delaware’s Court of Chancery has previously recognized investors' rights to bring appraisal cases following a deal announcement. Carl Icahn, however, has not filed an appraisal case and has filed a separate class action lawsuit alleging breaches of fiduciary duties by Silver Lake and its management. Icahn and the hedge funds have denied coordinating their Endeavor stock purchases, and some funds have been accused of not adequately disclosing these purchases. Delaware lawmakers amended corporate law last year to deter lawsuits related to large or controlling shareholder deals, potentially contributing to the increase in appraisal cases due to perceived undervaluation concerns or the relative ease of filing appraisal actions compared to traditional fiduciary duty lawsuits.",
  "summary": null,
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}