A Manhattan judge has dismissed breach of contract claims against private equity firm Sun Capital Partners, ruling that allegations of improper disclosures leveled by Garda USA after a failed $558 million merger transaction were purely speculative.
Garda sued Sun Capital and SOS Ultimate Holding, a mid-sized security company, alleging leaks of confidential information that allowed company Allied Security to outbid Garda for 100% of the equity interest of SOS. Garda’s 2019 lawsuit alleged that Sun Capital repeatedly made false statements, wrongfully pursued deals with other buyers, shared Garda’s purchase price with those buyers in violation of confidentiality agreements, and other claims.
