A law firm is looking into a transaction involving a global investment firm, as it may have a negative effect on some shareholders. This may become a class action claim in the future.
Brodsky and Smith noted that it is looking into potential breaches of fiduciary duty by the board of directors at KKR Financial Holdings, LLC. This is due to the company's purchase by Kohlberg Kravis Roberts and Co., LP. KKR Financial Holdings is overseen by an affiliate company run by KKR.
If the pending transaction is finalized, shareholders of KKR Financial Holdings will receive 0.51 shares of KKR shares for each of their original shares. With this in mind, the board may not have put enough effort to look out for the best interests of shareholders. This may have violated state law, as well as fiduciary duty, and the investigation aims to find this out. There also may be a conflict of interest in the purchase, as well.
Shareholders who are curious about what is involved in this investigation can learn more about it by visiting the law firm's website. It is also possible to have questions answered by members of the law firm. Both Jason Brodsky and Evan Smith are available for these discussions, whether they be related to the transaction's legal issues or other aspects of the investigation process. Both firm members can be reached by mail, email or telephone.
Second investigation begins
Another law firm is examining many of the aforementioned claims related to this pending transaction, which also has the potential to develop into a class action lawsuit.
Robbins Arroyo, LLP, noted it is looking into the pending transaction to determine if shareholders have a case. If this stock deal goes through, shareholders of KKR Financial Holdings will receive approximately $12.79 per share when considering the company's stock value on Dec. 16, 2013.
The law office also explained that the management teams of each company are very close, as one executive is involved with both organizations, in addition to being related through management.
Stockholders can speak with the firm to discuss their rights related to this case, as well as other related issues. Speaking with Darnell Donahue is best, and he can be reached by phone or email. It is also possible to read about the case on the firm's website.