A law office recently started looking into shareholders' claims against a communications technology company, after it agreed to be purchased by another firm. Depending on the outcome of this action, there may be a securities class action lawsuit filed in the future.
Faruqi and Faruqi, LLP, noted that it began an investigation of the leaders at Cbeyond, Inc., after the company announced it would be sold to Birch Communications, Inc. The deal with worth approximately $323 million.
If the proposed transaction is approved, shareholders of Cbeyond stock would earn anywhere between $9.97 and $10 for each individual interest owned in the company. However, this level may be too low, thus shortchanging shareholders. Due to this, there are allegations that the board of directors at Cbeyond did not take part in a sales process that was fair to all parties, undervalued shareholders and breached fiduciary duty.
For those stockholders of Cbeyond, it is an option to speak with the law office to learn more information about the case. This can be for any issues regarding a shareholder's rights and interests. The best person to discuss these matters with is Juan Monteverde, and he can be reached by email or telephone. There also is an ability to learn more about this investigation by visiting the law office's website.
Second investigation begins
Another law firm explained that it would also seek answers to shareholders' questions regarding the proposed deal between Cbeyond and Birch Communications. Like the aforementioned investigation, this also may develop into a class action lawsuit down the line.
Law office Brower Piven explained that the investigation will focus on whether or not the board of directors at Cbeyond violated state law and breached fiduciary duty. This is because there may have been a failure on the part of the board to look for the best possible value for shareholders. There also is a possibility that the company did not agree to have Birch Communications pay enough for the shares involved in the deal.
It is also possible for shareholders to speak with this law firm to gain more information about this action. This is open to any stockholders who currently own interests in Cbeyond. The law office is available by telephone or email, while further details can be had on its website. The inquiry does not have any cost.