Executives at M*Modal have agreed to a settlement with a number of shareholders who sued the clinical documentation services provider over the company's planned $1.1 billion sale to a subsidiary of JPMorgan Chase.
News of the settlement came a few hours after Nuance Communications, one of M*Modal's main competitors, felt compelled to file with the Securities and Exchange Commission a for-the-record statement saying it does not plan to bid for M*Modal. The memorandum of understand with shareholders calls for, among other things, the extension by a day of the $14-per-share tender offer by One Equity Partners and releases from standstill agreements more than a dozen companies with which M*Modal had buyout talks earlier this year. See the full terms of the MOU here.
Shares of M*Modal (Ticker: MODL) fell 1.5 percent Wednesday to $13.98.