An investigation on behalf of investors of Avon Products, Inc. (NYSE:AVP) in connection with the takeover was announced and NYSE:AVP stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 04/03/2012 -- The announcement by Coty Inc that it offered to acquire Avon Products, Inc. for $23.25 per share and the rejection of the offer by the Avon Products board of directors prompted an investigation for investors in Avon Products, Inc. (NYSE:AVP) shares concerning whether the offer to acquire Avon Products, Inc. and the buyout process are unfair to investors in NYSE:AVP shares.
Investors who purchased shares of Avon Products, Inc. (NYSE:AVP) prior to April 2, 2012 and currently hold (any of) those NYSE:AVP shares have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 - 1554.
The investigations by law firms concern whether certain officers and directors of Avon Products, Inc. breach their fiduciary duties owed to NYSE:AVP investors in connection with the proposed acquisition.
On Monday, April 2, 2012, Coty Inc. announced that it has submitted a non-binding proposal to acquire Avon Products, Inc. (NYSE: AVP) for $23.25 per share in cash. Shortly after the announcement was made public the board of directors of Avon Products, Inc. rejected the offer.
Following the takeover offer shares of Avon Products, Inc. (NYSE:AVP) jumped on Monday above the offer. In fact, NYSE:AVP shares jumped from $19.36 per share on Friday to as high as $23.34 per share, but closed on Monday at $22.70 per share.
However, NYSE AVP shares traded recently well above the current offer. NYSE:AVP shares traded in October 2011 as high as $23.85 per share, in July 2011 as high as $28.90 per share, and in May 2011 as high as $30.91 per share. Additionally, at least one analyst has set the high target price of NYSE:AVP shares at $29 per share.
Therefore the investigation for NYSE:AVP investors concerns whether the Avon Products Board of Directors failed to undertake an adequate sales process, adequately shop the company before entering into any transaction, specifically failed to negotiate the best price to maximize shareholder value, and failed to act in the shareholders' best interests in connection with the proposed sale.
In fact, Coty Inc. also said that Coty Inc. has had extensive but unsuccessful attempts to engage Avon in discussions regarding its proposal.
Those who are current investors in Avon Products, Inc. (NYSE:AVP) and purchased their Avon Products, Inc. (NYSE:AVP) shares prior to the announcement, have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego