A lawsuit was filed for investors in shares of Sagent Pharmaceuticals Inc (NASDAQ:SGNT) in connection with the proposed takeover and NASDAQ:SGNT stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 08/15/2016 -- The Shareholders Foundation announced that an investor who currently holds shares of Sagent Pharmaceuticals Inc (NASDAQ:SGNT), filed a lawsuit in effort to halt the proposed takeover of Sagent Pharmaceuticals Inc by Nichi-Iko Pharmaceutical Co., Ltd.
Investors who purchased shares of Sagent Pharmaceuticals Inc (NASDAQ:SGNT) and currently hold any of those NASDAQ:SGNT 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:SGNT stockholders by agreeing to sell Sagent Pharmaceuticals. too cheaply via an unfair process to Nichi-Iko Pharmaceutical Co., Ltd.
On July 11, 2016, Nichi-Iko Pharmaceutical Co., Ltd and Sagent Pharmaceuticals Inc (NASDAQ:SGNT) announced that they have entered into a a merger agreement under which Nichi-Iko will acquire Sagent Pharmaceuticals Inc via an all-cash tender offer followed by a second-step merger, for a total consideration of approximately $736 million. The merger agreement contemplates an all cash tender offer for $21.75 per share, followed by a second-step merger in which all outstanding shares of Sagent Pharmaceuticals Inc common stock not tendered in the Tender Offer will be converted into the right to receive the same amount, in cash equal to the Tender Offer price.
However, plaintiff claims that the proposed consideration NASDAQ:SGNT shareholders will receive is grossly inadequate and undervalues Sagent Pharmaceuticals Inc. Indeed, at least one analyst has set the high target price for NASDAQ:SGNT shares at $25.00 per share and Sagent Pharmaceuticals shares reached in 2014 as high as $32.50 per share. In addition, the plaintiff alleges that the process is also unfair to NASDAQ:SGNT stockholder.
On August 12, 2016, NASDAQ:SGNT shares closed at $21.73 per share.
Those who are current investors in Sagent Pharmaceuticals Inc shares have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego