By Jonathan StempelNEW YORK (Reuters) - The billionaire activist investor Ryan Cohen won the dismissal on Tuesday of a shareholder lawsuit accusing him of profitably cashing out of Bed Bath & Beyond shares too quickly as the home goods retailer was hurtling toward bankruptcy. U.S. District Judge Dale Ho in Manhattan said two former Bed Bath & Beyond shareholders could not force Cohen to return profits from selling his estimated 11% stake because the retailer's subsequent bankruptcy mooted their claims. Cohen revealed a 9.8% stake in Bed Bath & Beyond in March 2022 and pushed for changes that would include new directors and exploring a sale of the Buy Buy Baby brand. Bed Bath filed for bankruptcy in April 2023, and its common shares were canceled when its Chapter 11 plan became effective in September. The case is In re Bed Bath & Beyond Inc Section 16(b) Litigation, U.S. District Court, Southern District of New York, No.

Source: Forbes June 11, 2024 22:02 UTC