A lawsuit was filed for investors in shares of FBR & Co (NASDAQ:FBRC) in connection with the proposed takeover and NASDAQ:FBRC stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 04/20/2017 -- The Shareholders Foundation announces that an investor, who currently holds shares of FBR & Co (NASDAQ:FBRC), filed a lawsuit in effort to halt the proposed takeover of FBR & Co. by B. Riley Financial, Inc is unfair to NASDAQ:FBRC stockholders.
Investors who purchased shares of FBR & Co (NASDAQ:FBRC) and currently hold any of those NASDAQ:FBRC shares have certain options and should contact the Shareholders Foundation at firstname.lastname@example.org or call 858-779-1554.
The plaintiff alleges that the defendants breached their fiduciary duties owed to NASDAQ:FBRC stockholders by agreeing to sell FBR & Co. too cheaply via an unfair process to B. Riley Financial, Inc.
On February 21, 2017, B. Riley Financial, Inc. (NASDAQ: RILY) announced that it has signed a stock for stock merger agreement to acquire FBR & Co (NASDAQ:FBRC). Under the terms of the agreement, FBR & Co (NASDAQ:FBRC) shareholders are anticipated to receive 0.671 of a share of B. Riley and a pre-closing cash dividend of $8.50 for each share of FBR & Co (NASDAQ:FBRC) common stock they own, representing consideration of $18.90 based on B. Riley's February 23, 2017 closing price.
However, plaintiff claims that the proposed consideration NASDAQ:FBRC shareholders will receive is grossly inadequate and undervalues FBR & Co. In addition, the plaintiff alleges that the process is also unfair NASDAQ:FBRC stockholders.
Shares of FBR & Co (NASDAQ:FBRC) closed on April 19, 2017, at $17.65 per share,
Those who purchased shares of FBR & Co have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego