Shareholders recently brought forth claims against a law firm against an eye surgery company after it agreed to be purchased by another organization. This may become a class action lawsuit in the future.
Law firm Brodsky and Smith, LLC, announced it would investigate the allegations against the board of directors at LCA-Vision, Inc., after the company agreed to be purchased by PhotoMedex, Inc.
With the pending deal, shareholders of LCA-Vision will earn $5.37 in cash for each share owned in the company. The figure may be lower than shareholders deserve, and this is why there are allegations of state law violations and breaches of fiduciary duty. Additionally, the company's board of directors may not have looked out for the shareholders' best interests during the sales process.
Further accusations of undervaluing the company involved shareholders not really making a significant gain from the deal, or even losing money for shareholders. This is partly due to LCA-Vision trading at $4.65 per share on Jan. 3, 2014. Shares also traded at $9.17 at the end of Feb. 28, 2012. One analyst noted that the target price for the company should have been close to $8 per share.
It is possible for shareholders to speak with the law firm regarding the investigation and how the pending transaction may affect them. Members of the firm can be contacted in multiple ways, and it is best to speak with Evan Smith or Jason Brodsky. They can be reached by email or telephone. It is also possible to read more about the investigation on the law firm's website.
Second investigation starts
Another law office noted it will examine allegations against LCA-Vision due to shareholders being unhappy about the terms of the deal. Like the aforementioned investigation, this also may be a securities class action lawsuit down the line.
Law office Pomerantz, LLP, began an investigation of the company's purchase by PhotoMedex. The deal would give shareholders of LCA-Vision an amount that was notably lower than the target price, which could turn out to be multiple violations by the LCA-Vision board of directors.
Any shareholders who are looking to learn more about the investigation process can speak with the law office. The best person to contact is Robert Willoughby, and he can be reached by telephone or email.