MILWAUKEE, May 4, 2015 (GLOBE NEWSWIRE) -- We are investigating the Board of Directors of PMFG for possible breaches of fiduciary duty and other violations of state law in connection with the sale of PMFG to CECO.
Click here to learn how to join the action: http://www.ademilaw.com/case/pmfg-inc or call Guri Ademi toll-free at 866-264-3995. There is no cost or obligation to you.
PMFG’s long-term financial outlook is positive and yet shareholders will receive the equivalent of only $6.85 per share. CECO is well aware of PMFG’s’ improving financial metrics and is purchasing PMFG at a substantial discount. The merger agreement unreasonably limits prospective bids by (i) prohibiting solicitation of any further bids, and (ii) imposing a termination penalty should PMFG receive and accept a superior bid. PMFG’s insiders and their affiliates own significant stock, and will receive millions of dollars as part of change of control arrangements. These insiders can unduly influence a sale of PMFG not necessarily in the best interests of non-insider shareholders. In light of these facts, our investigation centers on the conduct of PMFG’s Board of Directors, who have unanimously approved the transaction, and whether they are (i) fulfilling their fiduciary duties to all shareholders, and (ii) obtaining a fair and reasonable price for PMFG given its current financial condition and prospects.
We specialize in shareholder litigation involving buyouts, mergers, and individual shareholder rights throughout the country. For more information, please feel free to call us. Attorney advertising. Prior results do not guarantee similar outcomes.
Ademi & O'Reilly, LLP Guri Ademi 3620 East Layton Ave. Cudahy, WI 53110 Toll Free: (866) 264-3995 Fax: (414) 482-8001 www.ademilaw.com
Source:Ademi & O'Reilly, LLP