A lawsuit in effort to stop the proposed takeover of Assisted Living Concepts, Inc. was filed and current NYSE:ALC stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 03/06/2013 -- An investor in NYSE:ALC shares filed a lawsuit in effort to block the proposed takeover of Assisted Living Concepts, Inc. by private investment firm TPG to acquire Assisted Living Concepts, Inc. for $12, respectively $12.90, per NYSE:ALC share.
Investors who purchased shares of Assisted Living Concepts, Inc. (NYSE:ALC) prior to February 26, 2013, and currently hold any of those NYSE:ALC shares have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 - 1554.
The plaintiff alleges that the defendants breached their fiduciary duties owed to NYSE:ALC stockholders arising out of the attempt to sell Assisted Living Concepts, Inc. at an unfair price via an unfair process to TPG.
On February 26, 2013, Assisted Living Concepts, Inc. announced that it has entered into an agreement to be acquired by TPG. Under the terms of the agreement, ALC stockholders will receive $12.00 in cash for each share of Class A common stock. In accordance with the ALC charter, based on the Class A per share merger consideration, holders of ALC’s Class B common stock will receive $12.90 in cash per share.
However, the plaintiff alleges that the offer is too low and unfair to ALC stockholders. In fact, NYSE:ALC shares traded as recently as May 3, 2012 as high as $19.17 per share. Furthermore, Assisted Living Concepts’ financial performance improved lately. For instance, it reported that its annual Total Revenue rose from $228.72 million in 2009 to $234.45 million in 2011 and its Net Loss of $0.15 million in 2009 turned into a Net Income of $24.36 million in 2011. Furthermore, shares of Assisted Living Concepts, Inc. grew since its 2:1 split on June 16, 2011 significantly. In fact, NYSE:ALC grew from slightly under $12 in September 2011 to over $19 in May 2012.
Those who are current investors in Assisted Living Concepts, Inc. (NYSE:ALC), have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego