Goldman Sachs Abandons Ebix Deal as Prosecutors Open Probe

Goldman Sachs Group Inc. terminated an agreement to acquire Ebix Inc. after the insurance software maker said it was told that federal prosecutors had opened an investigation. Ebix shares plunged the most in three years.

The U.S. Attorney in Atlanta wrote in a letter that it was probing allegations of intentional misconduct, Ebix said yesterday in a statement. The company previously disclosed that it faced shareholder class-action lawsuits and a U.S. Securities and Exchange Commission probe over the accuracy of its public statements to investors.