Shareholders Foundation, Inc.

DealerTrack Technologies Inc (NASDAQ:TRAK) Shareholder Alert: Lawsuit Against Acquisition

A lawsuit was filed for investors in shares of DealerTrack Technologies Inc (NASDAQ:TRAK) in connection with the proposed takeover was announced and NASDAQ:TRAK stockholders should contact the Shareholders Foundation.

 

San Diego, CA -- (SBWIRE) -- 07/22/2015 -- The Shareholders Foundation announces that an investor who currently holds shares of DealerTrack Technologies Inc (NASDAQ:TRAK), filed a lawsuit in effort to halt the proposed takeover of DealerTrack Technologies Inc. by Cox Automotive, Inc for $63.25 per share.

Investors who purchased shares of DealerTrack Technologies Inc (NASDAQ:TRAK) and currently hold any of those NASDAQ:TRAK shares have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation or call +1(858) 779 - 1554.

The plaintiff alleges that the defendants breached their fiduciary duties owed to NASDAQ:TRAK stockholders by agreeing to sell DealerTrack Technologies Inc too cheaply via an unfair process to Cox Automotive, Inc.

On June 15, 2015, Cox Automotive, Inc. and DealerTrack Technologies Inc (NASDAQ:TRAK) announced that they have entered into a definitive merger agreement. Under the terms of the proposed transaction, Cox Automotive will acquire DealerTrack Technologies Inc (NASDAQ:TRAK) in an all-cash transaction valued at $4 billion, or $63.25 per NASDAQ:TRAK share.

However, the plaintiff claims that the proposed consideration NASDAQ:TRAK shareholders will receive is grossly inadequate and undervalues DealerTrack Technologies Inc. Indeed, DealerTrack Technologies Inc reported that its annual Total Revenue rose from $353.29 million in 2011 to $854.41 million in 2014. Shares of DealerTrack Technologies Inc (NASDAQ:TRAK) grew from $15.67 per share in September 2011 to as high as $56.74 per share in March 2014. In addition, the plaintiff claims that the process is also unfair to NASDAQ:TRAK stockholders.

On July 20, 2015, NASDAQ:TRAK shares closed at $62.31 per share.

Those who are current investors in DealerTrack Technologies Inc (NASDAQ:TRAK) 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