Liberty Shipping takes International Shipholding to court over delays in responding to offer

By Lisa Kerner

Charlotte, N.C., Nov. 7 - Liberty Shipping Group LLC filed a complaint against International Shipholding Corp. and its directors in the Court of Chancery of the State of Delaware.

In the suit, Liberty seeks to compel International Shipholding to fulfill what it said are the company's fiduciary duties to its stockholders. According to Liberty, International Shipholding has a "continuing pattern of delay and obstruction" when it comes to Liberty's Sept. 2 offer to buy the company for $25.75 per share in cash.

Liberty said it also filed a second complaint in the federal District Court for the Southern District of New York against International Shipholding and some executives and directors of the company.

The second complaint alleges the defendants failed to comply with federal securities laws, a Liberty news release said.

Liberty said it has tried to engage International Shipholding in discussions and would prefer to work cooperatively with the special committee of the board to negotiate a transaction.

However, Liberty is reserving the right to take its proposal directly to the International Shipholding stockholders and to nominate a new slate of directors.

Liberty, a 9% shareholder, is a Lake Success, N.Y.-based owner and operator of dry bulk vessels.

International Shipholding provides international and domestic maritime transportation services. The company is based in Mobile, Ala.

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