– Court Fully Dismisses $12.4 Million Claim Filed in 2009
PETAH TIKVA, Israel, October 15, 2013 – Gilat Satellite Networks Ltd. (Nasdaq: GILT), a worldwide leader in satellite networking technology, solutions and services, today announced that it has received a favorable judgment fully dismissing a $12.4 million lawsuit filed against Gilat and others in 2009.
The lawsuit was filed in the central district court in Israel by eight shareholders (Israeli companies and individuals) against the Company, all of its directors at the time of the filing and York Capital Management, a major shareholder of Gilat (which was later dismissed from the claim). The plaintiffs claimed damages based on the amounts they would have been paid upon closure of a merger agreement signed March 31, 2008 with a consortium of buyers.
The court dismissed the lawsuit in its entirety and awarded Gilat with legal expenses. The court found that the executives of Gilat, led by the Chairman of the Board, Mr. Amiram Levinberg, then also Chief Executive Officer, acted impeccably, professionally and in good faith, putting the interests of Gilat and its shareholders first.
The plaintiffs have the right, within the next 45 days, to appeal to the Supreme Court in an attempt to change this ruling.