Class action lawsuits are quite common on announced takeovers. Just look at the news on RDEN on Friday and today. They announce they are being taken over and within two hours the first law firm is “investigating” for shareholders; within 24 hours, there are almost a dozen law firm looking for clients to pursue a class action. Why has this not happened with InterOil? Because Dr. Hession closed all offices of InterOil in the United States making IOC a Canadian company with our sole asset in PNG and offices in Singapore. US lawyers will not get involved if they can’t find a way to get paid. They wouldn’t even know where to serve the papers of file the claim.
I reached out to one of the largest firms in the US that does securities litigation on day one when the deal was announced. Initially the firm was very excited to peruse a case, but once they realized the structure of InterOil, they said you would need to find a law firm that is more international. If anyone has any connections with law firms in Singapore or Canada, I suggest you contact them.
