Ruling Forces MONY To Postpone AXA Deal Vote
A court ruling has forced the MONY Group Inc. to postpone a meeting where stockholders could vote on the AXA Financial Inc. acquisition offer.
MONY has delayed the meeting, originally scheduled for Feb. 24, so it can send a revised deal proxy statement to its stockholders.
Vice Chancellor Stephen Lamb, a judge in the Delaware Court of Chancery, asked the New York insurer to send stockholders more information about the “change in control” compensation that AXA Financial has agreed to pay MONY managers.
AXA Financial, a New York-based unit of AXA S.A., Paris, agreed in September 2003, to pay $1.5 billion, or $31 per share, for MONY, and to pay MONY managers about $90 million in change-in-control compensation. MONY shareholders can vote on the offer by mail or at the special shareholder meeting.
Lamb agreed with the deal critics that MONY should tell shareholders that AXA Financial has offered MONY managers a rich change-in-control compensation package.