Groupon will pay $45 million to early shareholders in a settlement agreement, following a judge’s approval Wednesday morning.
Shareholders of the Chicago-based tech company brought the class-action lawsuit in 2012, alleging that stock in the company had been damaged by securities fraud.
Judge Charles Norgle approved the proposed settlement in U.S. District Court for the Northern District of Illinois. Groupon had agreed to the settlement in February.
The settlement represents almost 35 percent of the class members’ estimate of damages for all claims, according to a final approval memorandum filed by the shareholders’ counsel.
“The settlement is an excellent result, achieved after extensive and hard-fought litigation and arm’s-length negotiation by experienced counsel,” the motion said. “The settlement amount is not only fair and reasonable, but far above standard securities class action recoveries.”
Shareholders who meet the requirements can file claim documents by Aug. 26.
A Groupon spokesman said the company did not wish to comment on the settlement agreement.
Groupon stock traded down less than 1 percent Wednesday morning at about $3.44.
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