Shares of Akorn (AKRX) are rising after Bloomberg reported that Akorn lawyers accused Fresenius (FSNUY) of wrongfully withdrawing from their merger pact because it had "buyer's remorse" over the price.

WHAT'S NEW: Akorn lawyers have claimed that Fresenius wrongfully pulled out of their merger agreement because it had "buyer's remorse" over the price, according to Bloomberg, citing an unsealed lawsuit. Akorn is asking Delaware Chancery Judge Travis Laster to prohibit Fresenius from walking away from the pact or attempting to sabotage efforts to secure antitrust clearance for the merger, the report says.

WHAT'S NOTABLE: Last weekend, Fresenius opted to terminate its merger pact with Akorn, citing Akorn's "failure to fulfill several closing conditions." Fresenius pointed to, in particular, "material breaches of FDA data integrity requirements relating to Akorn's operations found during Fresenius' independent investigation." Fresenius said at the time that it offered to delay its decision in order to give Akorn the opportunity to complete its own investigation and present any information it wanted Fresenius to consider, but Akorn declined the offer. On Monday, however, Akorn filed a complaint in Delaware Chancery Court requesting that Fresenius be required to fulfill its obligations under the definitive merger agreement.

RBC SEES PATH TO CLOSING: After reviewing Akorn's legal complaint, RBC Capital analyst Randall Stanicky said in a research note to investors that he still sees a path to the Fresenius deal closing. The analyst noted that the complaint sheds "a lot of light" on alleged data integrity issues and FTC process and that he expects the materiality of such issues to be debated with further color likely to come from Fresenius. Overall, however, Stanicky is "not yet convinced" that the issued raised so far at the level of a deal break. The analyst added that he expects Fresenius to respond to this complaint and that investors expect the process to take one to three months. Stanicky backed a Sector Perform rating and $25 price target on Akorn.

PRICE ACTION: In afternoon trading, Akorn is up 9% to $14.83.