San Diego, CA -- (SBWIRE) -- 10/03/2012 -- An investigation on behalf of investors in Ceradyne, Inc. (NASDAQ:CRDN) shares was announced concerning whether the offer by 3M to acquire Ceradyne, Inc. for $35.00 per NASDAQ:CRDN share and the takeover process are unfair to investors in NASDAQ:CRDN.
Investors who purchased shares of the Ceradyne, Inc. (NASDAQ:CRDN) prior to October 1, 2012, and currently hold any of those NASDAQ:CRDN shares have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 - 1554.
The investigation by a law firm concerns whether certain officers and directors of Ceradyne, Inc. breached their fiduciary duties owed to NASDAQ:CRDN investors in connection with the proposed acquisition.
On October 1, 2012, 3M (NYSE:MMM) and Ceradyne, Inc. (NASDAQ:CRDN) announced that they have entered into a definitive for 3M’s acquisition of Ceradyne, Inc. for $35.00 per share. The proposed transaction has an aggregate value of approximately $860 million, or approximately $670 million net of cash, cash equivalents, short-term investments and debt acquired.
However the investigation a law firm concerns whether the proposed transaction is unfair to: NASDAQ:CRDN stockholders. In fact, NASDAQ:CRDN shares traded earlier this year as high as $34.64 per share, thus decreasing the premium significantly. Furthermore, at least one analyst has set the high target price of NASDAQ:CRDN shares at $37.00 per share, thus well above the current offer.
In addition, Ceradyne, Inc. preformed well for its investors in the past. For instance, Ceradyne, Inc. (NASDAQ:CRDN) reported that its annual Revenue rose from $400.57 million in 2009 to $571.98 million in 2011 and its Net Income surged from $8.52 million in 2009 to $83.89 million in 2011. Furtermore, shares of Ceradyne, Inc. (NASDAQ:CRDN) grew at an exceptional growth rate. In fact, NASDAQ:CRDN shares grew from as low as $14.87 per share in March 2009 to as high as $47.11 per share in May 2011.
Therefore, the investigation focuses on whether the Ceradyne Board of Directors undertook an adequate sales process, adequately shopped the company before entering into the transaction, maximized shareholder value by negotiating the best price, and acted in the shareholders' best interests in connection with the proposed sale.
Those who are current investors in Ceradyne, Inc. (NASDAQ:CRDN) and purchased their Ceradyne, Inc. shares prior to the announcement, have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
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