A lawsuit was filed for investors in shares of Cash America International Inc (NYSE:CSH) in connection with the proposed takeover and NYSE:CSH stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 07/13/2016 -- The Shareholders Foundation announced that an investor who currently holds shares of Cash America International Inc (NYSE:CSH), filed a lawsuit in effort to halt the proposed takeover of Cash America International Inc by First Cash Financial Services, Inc for a value of approximately $40.90 per share.
Investors who purchased shares of Cash America International Inc (NYSE:CSH) and currently hold any of those NYSE:CSH shares have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call 858-779-1554.
The plaintiff alleges that the defendants breached their fiduciary duties owed to NYSE:CSH stockholders by agreeing to sell Cash America International Inc too cheaply via an unfair process to First Cash Financial Services, Inc.
On April 28, 2016, First Cash Financial Services, Inc. and Cash America International Inc (NYSE:CSH) announced that they have entered into a merger agreement under which the two companies will combine in a tax free, all-stock transaction. Under the terms of the agreement, Cash America International Inc shareholders will receive a fixed exchange ratio of 0.84 First Cash Financial Services, Inc. (NASDAQ: FCFS) shares for each Cash America share they own. Based on a closing price of $48.69 per First Cash Financial Services, Inc. (NASDAQ: FCFS) share each Cash America International Inc shareholder will receive a value of approximately $40.90 per NYSE:CSH share.
However, plaintiff claims that the proposed consideration NYSE:CSH shareholders will receive is grossly inadequate and undervalues Cash America International Inc. Indeed, at least one analyst has set the high target price for NYSE:CSH shares at $43.00 per share. In addition, the plaintiff alleges that the process is also unfair to Cash America International stockholders.
On July 12, 2016, NYSE:CSH shares closed at $42.79 per share.
Those who are current investors in Cash America International Inc 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