Corporate Law News

Blackstreet Wants $7 Million When It’s Owed $7,000, Suit Says

Nov. 14, 2019, 4:54 PM

Blackstreet Investment Holdings LLC was hit with a Delaware lawsuit claiming it’s trying to inflate the post-closing “working capital adjustment” nearly a thousand times over after buying an airport shuttle business.

“Blackstreet is abusing the working capital adjustment process,” the suit says, “in the hope of a windfall of over $7 million.”

The sale of SuperShuttle from French public transport operator Transdev on Demand Inc. to Blackstreet—an affiliate of private equity firm Blackstreet Capital Partners LP—closed in early September, according to the Chancery Court complaint.

The deal, financed by an $18 million loan from Transdev to Blackstreet, included a standard...

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