In a case involving derivative contracts issued by a firm in an acquisition, attorneys retained Cornerstone Research and Professor William Silber of New York University. Retained by Sherman & Sterling In a case involving derivative contracts issued by a firm in an acquisition, attorneys retained Cornerstone Research and Professor William Silber of New York University. As part of the consideration in its mergers with two target firms, the acquiring firm issued two types of derivatives to the target shareholders. These derivatives can be broadly categorized as put options—they decline in value as the price of the underlying stock increases. The plaintiffs alleged that the acquiring firm inflated its stock price after the mergers, thereby reducing the value of the derivatives. Professor Silbe

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