NEW YORK, Oct. 2, 2012 /PRNewswire/ -- Harwood Feffer LLP (www.hfesq.com) is investigating potential claims against the board of directors of ZAGG Incorporated ("ZAGG" or the "Company") (NASDAQ: ZAGG), concerning whether the board has breached its fiduciary duties to shareholders.
ZAGG provides innovative consumer products like films, skins, keyboards, cases, audio accessories, and power solutions that protect, personalize and enhance personal mobile devices.
On August 20, 2012, ZAGG filed an 8-K in which it announced the resignation of Robert G. Pedersen, the Chairman and CEO of ZAGG, on August 17, 2012. Although the Company did not explicitly disclose the reason for Pedersen's resignation, the 8-K included a general discussion of the Company's policy prohibiting holders of at least 10% of ZAGG stock from engaging in speculative transactions involving ZAGG stock, such as holding those securities in a margin account. The price of ZAGG shares fell from $8.42 per share to $7.30 per share on August 20, 2012, representing a decline of approximately 13%. ZAGG stock closed as high as $13.03 per share on April 30, 2012.
During a conference call with analysts on August 28, 2012, ZAGG confirmed that Pedersen's resignation was in fact related to his sales of ZAGG stock to meet margin calls both in December 2011 and August 2012.
Current holders of ZAGG shares may have a claim against the board for breaches of fiduciary duties, gross mismanagement, and/or abuse of control. If you own ZAGG shares and wish to discuss this matter with us, or have any questions concerning your rights and interests with regard to this matter, please contact:
Matthew M. Houston, Esq.
Christopher J. Safrath
Harwood Feffer LLP
488 Madison Avenue
New York, New York 10022
Phone Numbers: (877) 935-7400
Harwood Feffer has been representing individual and institutional investors for many years, serving as lead counsel in numerous cases in federal and state courts. Please visit the Harwood Feffer LLP website (http://www.hfesq.com) for more information about the firm.
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