#United States #Settlement #La Jolla, California #AeroGrow #Bottini

Recent Settlement Announcement for AeroGrow Shareholders

Bottini & Bottini, Inc. has issued a notice regarding a proposed settlement from a recent class action lawsuit involving AeroGrow International, Inc. This action is significant for minority shareholders who owned AeroGrow stock as of February 26, 2021, the effective date of the merger with SMG Growing Media, Inc.

The case was presented in the Eighth Judicial District Court of Clark County, Nevada, signifying formal legal proceedings that aimed to address concerns raised by shareholders regarding the merger process. The lawsuit accused AeroGrow and its associated parties of allegedly breaching fiduciary duties during this merger. While the defendants have denied all allegations, the case's development has led to a proposed settlement of approximately $15.98 million.

Overview of the Class Action

The class action in question was initiated by Overbrook Capital LLC and Nicoya Capital LLC on behalf of shareholders who held common stock in AeroGrow at the time of the merger. Their primary claim centered around the assertion that the defendants had failed to uphold their fiduciary responsibilities, thus impacting the shareholders' rights and expectations concerning the merger consideration.

The defendants include not only AeroGrow but also prominent figures such as Chris Hagedorn and H. MacGregor Clarke, as well as other associated corporations. The court is set to conduct a hearing on April 30, 2026, to assess whether the proposed settlement is fair and adequate.

Important Dates and Considerations

Shareholders must take note that if they held common shares of AeroGrow on the crucial merger date, they may be eligible for a share of the settlement fund. Participants are not required to actively file claims or take any immediate action; compensation will be distributed automatically on a per-share basis once the settlement is finalized.

However, it is crucial for shareholders to understand that receipt of the notice does not automatically guarantee participation in the settlement proceeds. Individuals who wish to exempt themselves from the class must formally request exclusion by postmarked deadlines specified in the notice.

Moreover, class members retain the right to express objections against various aspects of the settlement, including the plan of allocation and attorney fee requests, which must be submitted by March 31, 2026, for consideration by the court.

Conclusion

This class action settlement represents a pivotal moment for AeroGrow's minority shareholders and aims to address grievances stemming from the merger process. The upcoming hearing will play a crucial role in determining the approval of the settlement, which promises to provide affected shareholders with much-needed relief. For further detailed information, shareholders are encouraged to refer to the official litigation website or consult directly with the class counsel from Bottini & Bottini, Inc.

In summary, significant developments are underway for shareholders of AeroGrow as they await final decisions from the courts while seeing value from their previous investments come to light in the proposed settlement.