An investor in shares of Hot Topic, Inc. (NASDAQ:HOTT) filed a lawsuit in effort to stop the proposed takeover and other current NASDAQ:HOTT stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 03/12/2013 -- An investor in shares of Hot Topic, Inc. (NASDAQ:HOTT) filed a lawsuit in effort to stop the proposed takeover of Hot Topic, Inc. by Sycamore Partners at $14.00 per NASDAQ:HOTT share.
Investors who purchased shares of Hot Topic, Inc. (NASDAQ:HOTT) prior to March 7, 2013, and currently hold any of those NASDAQ:HOTT shares have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 - 1554.
The plaintiff alleges that the defendants breached their fiduciary duties owed to NASDAQ:HOTT stockholders by agreeing to sell the company too cheaply via an unfair process.
On March 7, 2013, Hot Topic, Inc. and Sycamore Partners announced that they have entered into an agreement pursuant to which Sycamore Partners will acquire Hot Topic for $14.00 per share in cash, or a total of approximately $600 million. Hot Topic, Inc said the offer represents a premium of approximately 30% over Hot Topic’s closing stock price on March 6, 2013.
However, the plaintiff alleges that the $14-offer is too low and undervalues the company. Indeed, at least one analyst has set the high target price for NASDAQ:HOTT at $16.40 per share.
On March 11, 2013, NASDAQ:HOTT shares closed at $13.84 per share.
Those who are current investors in Hot Topic, Inc. (NASDAQ:HOTT), have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego
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