Four lawsuits have been filed against Blackhawk Network Holdings Inc. in connection with the pending acquisition of the company by investment firms Silver Lake and P2 Capital Partners LLC.
Blackhawk Network and members of its board were accused of not disclosing certain allegedly material facts regarding the acquisition. An individual complaint, two putative class action complaints and one putative class action complaint were filed in the District Court for the Northern District of California earlier in March.
Additionally, Blackhawk Network revised its projections for adjusted EBITDA in 2017 and 2018. The company revised its adjusted EBITDA for 2017 to $228 million from $233 million, while the 2018 projection was slashed to a range of $240 million to $250 million from $260 million. The projection for adjusted operating revenues for 2017 was increased to $967 million from $965 million.