A lawsuit was filed for investors in shares of GigPeak Inc (NYSEMKT:GIG) in connection with the proposed takeover and NYSEMKT:GIG stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 03/29/2017 -- An investor who currently holds shares of GigPeak Inc (NYSEMKT:GIG), filed a lawsuit in effort to halt the proposed takeover of GigPeak Inc., formerly GigOptix, Inc, by Integrated Device Technology, Inc.
Investors who purchased shares of GigPeak Inc (NYSEMKT:GIG) and currently hold any of those NYSEMKT:GIG 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 NYSEMKT:GIG stockholders by agreeing to sell GigPeak Inc too cheaply via an unfair process to Integrated Device Technology, Inc.
On February 13, 2017, Integrated Device Technology, Inc. (NASDAQ:IDTI) and GigPeak Inc (NYSEMKT: GIG) announced that they have signed an agreement for Integrated Device Technology, Inc to acquire GigPeak, Inc., for total cash consideration of $3.08 per share, or approximately $250 million in cash.
However, plaintiff claims that the proposed consideration NYSEMKT: GIG shareholders will receive is grossly inadequate and undervalues GigPeak Inc. Indeed, least one analyst has set the high target price for NYSEMKT: GIG shares at $3.50 per share and NYSEMKT: GIG shares traded in 2015 as high as $3.20 per share. Furthermore, GigPeak Inc reported that its annual Total Revenue rose from $32.95 million in 2014 to $58.74 million in 2016 and that its Net Loss of $5.82 million in 2014 turned into a Net Income of $2.23 million in 2016. In addition, the plaintiff alleges that the process is also unfair to NYSEMKT:GIG stockholders
Those who are current investors in GigPeak Inc shares have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego