A lawsuit was filed by investor in shares of Cleco Corporation (NYSE:CNL) in effort to stop the proposed takeover and NYSE:CNL stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 11/04/2014 -- An investor, who currently holds shares of Cleco Corporation (NYSE:CNL), filed a lawsuit in effort to halt the proposed takeover Cleco Corp. for $55.37 per share.
Investors who purchased shares of Cleco Corporation (NYSE:CNL) and currently hold any of those NYSE:CNL shares have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.
The plaintiff alleges that the defendants breached their fiduciary duties owed to NYSE:CNL stockholders by agreeing to sell Cleco Corporation too cheaply via an unfair process.
On October 20, 2014 Cleco Corporation (NYSE: CNL) announced that it has entered into an agreement to be acquired by a group of North American long-term infrastructure investors led by Macquarie Infrastructure and Real Assets (MIRA) and British Columbia Investment Management Corporation (bcIMC), together with John Hancock Financial and other infrastructure investors (collectively, "investor group"). The agreement values Cleco at approximately $4.7 billion, including approximately $1.3 billion of assumed debt. Under the terms of the agreement, the new owners will acquire all outstanding shares of Cleco Corporation for $55.37 per share in cash.
However, the plaintiff claims that the $55.37-offer is too low and undervalues Cleco Corporation. Indeed, NYSE:CNL shares traded as recently as high as $58.68 per share in June 2014. In addition, Cleco Corporation reported that its annual Total Revenue rose from $944.17 million in 2012 to over $1.04 billion in 2013. Shares of Cleco Corporation (NYSE:CNL) grew from $39.26 per share in November 2012 to as high as $58.68 per share in June 2014. Furthermore, the plaintiff alleges that the process is unfair to investor in NYSE:CNL shares.
On October 31, 2014, NYSE:CNL shares closed at $53.76 per share.
Those who are current investors in Cleco Corporation shares have certain options and should contact the Shareholders Foundation.
Contact:
Shareholders Foundation, Inc.
Michael Daniels
3111 Camino Del Rio North - Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com