Disney confirmed it was acquiring major YouTube network Maker Studios last month, and is battling an uphill battle to completely close the deal.
Earlier this week, we reported that Relativity Media attempted to counterbid Disney, but ultimately couldn’t hook Maker.
Now, just one week after Maker Studios Co-Founder Danny Zappin and three executives sued in an attempt to block the acquisition, shareholder Andy Faberlle has taken a similar approach.
Faberlle worked at Maker from April 2011 to August 2013, and helped bring in such YouTube talent as mega prankster Ed Bassmaster, and music video parody connoisseur Bart Baker.
According to Faberlle, fraud was at play leading up to the Disney acquisition.
“Upon information and belief, members of Maker’s Board of Directors, Mark Suster, Lisa Donovan, Ben Donovan, Rachel Lam, Dana Settle, and Michael DiSanto, unhappy with their inability to control Maker and/or obtain a quick return on their invested capital in Maker, orchestrated a scheme to illegally issue enough shares to themselves and those friendly to them that would be required to approve any sale.”
Maker Studios shot down Zappin’s lawsuit last week, saying “Mr. Zappin was not ‘tricked’ into giving up voting control at the time he resigned; he had no such control.”
The Disney merger was approved by Maker, but Faberlle is continuing with the lawsuit anyways, proclaiming “the Merger must be unwound.”
Photo credit: Tom Bricker