Another former Maker Studios employee is attempting to block the company’s $500 million-plus sale to Disney.
Former director of partnerships Andy Faberlle is the sole plaintiff in the suit, filed on April 15, which alleges that members of Maker’s board, including current executive chairman Ynon Kreiz, illegally issued enough shares to themselves and “those friendly to them” to facilitate approval of the sale. Faberlle resigned from Maker in August 2013.
The suit was filed for Faberlle in the California Superior Court of Los Angeles County by Sanford L. Michelman of Michelman & Robinson, the firm that is also representing ex-CEO Danny Zappin and fellow Maker co-founders Scott Katz, Derek Jones and Will Watkins in a June 2013 lawsuit against Maker alleging that the board “conspired … to use their power to line their pockets with Maker’s assets,” to deny Zappin of all his powers and “gut the rights” of common stock shareholders and take control of the company.
As part of that suit, Zappin filed for a restraining order on April 10 to block a vote on the Maker’s sale to Disney, alleging “certain Maker directors illegally issued shares to themselves and diluted common stock for their own financial gain” and in order to “take control of Makers’ board … so that they could sell Maker and obtain significant returns on their investments irrespective of the best interests” of the company and its shareholders.
On April 14, Relativity Media announced that it had made a last-minute bid for Maker worth up to $1.1 billion. Later that day, Maker announced that its sale to Disney had been approved on or around March 24, when the deal was originally announced, and Zappin’s request for the restraining order had been denied.