Applebee’s International Inc., the restaurant chain now owned by Ihop Corp., said Friday that it has won court approval to settle a shareholder lawsuit over the $1.9 billion acquisition.
After the acquisition was announced in July, the New Jersey Building Laborers Pension and Annuity Funds sued, seeking a higher price for the struggling restaurant chain. Delaware Chancery Court Judge William B. Chandler III approved the settlement Thursday and awarded the union $358,185 in attorneys’ fees and expenses.
The settlement comes a day after Glendale-based Ihop reported a fourth-quarter loss of $14.3 million (-94 cents per share), mainly due to costs and restructuring associated with the acquisition, which was finalized in November.
Shares in Ihop shares dipped 2.6 percent to $46 in early trading Friday on the New York Stock Exchange.
