An investigation on behalf of investors in NYSE:AM shares over potential wrongdoing in connection with the proposed takeover of American Greetings Corporation was announced and NYSE:AM stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 04/02/2013 -- The announcement that American Greetings Corporation agreed to a takeover at a value of $18.35 per NYSE:AM share prompted an investigation concerning whether the takeover process and the offered price are unfair to NYSE:AM stockholders.
Investors who purchased shares of the American Greetings Corporation (NYSE:AM) and currently hold any of those NYSE:AM shares have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 - 1554.
The investigation by a law firm concerns whether certain officers and directors of American Greetings breached their fiduciary duties owed to NYSE:AM investors in connection with the proposed acquisition.
On September 26, 2012, Sep 26, 2012 American Greetings Corporation (NYSE: AM) announced that its Board of Directors has received a non-binding proposal dated September 25, 2012 from Zev Weiss, its Chief Executive Officer, and Jeffrey Weiss, its President and Chief Operating Officer, on behalf of themselves and certain other members of the Weiss family and related parties to acquire all of the outstanding Class A and Class B common shares of American Greetings not currently owned by the them for $17.18 per share.
Then on April 1, 2013, American Greetings Corporation announced that it has signed a definitive agreement under which a newly organized entity owned by the Weiss Family, including the Company's Chairman, Morry Weiss; Director and Chief Executive Officer, Zev Weiss; and Director, President and Chief Operating Officer, Jeffrey Weiss and related persons and entities, will acquire the Company.
Under the agreement, American Greetings Class A and Class B shareholders, excluding the Weiss Family and related entities, will receive $18.20 per share in cash, and, if declared by the Board of Directors, one regular quarterly dividend of $0.15 per share declared and payable in a manner consistent with the Company's past practice.
If the transaction closed in July 2013, the targeted closing date, the total cash amount shareholders would receive would be $18.35 per share.
However, given that at least one analyst has set the high target price for NYSE:AM shares at $30.00 per share, the investigation a law firm concerns whether the American Greetings Corporation (NYSE:AM Board of Directors undertook an adequate sales process, adequately shopped the company before entering into any transaction, maximized shareholder value by negotiating the best price, and acted in the shareholders' best interests in connection with the proposed sale.
American Greetings Corporation (NYSE:AM) reported that its Total Revenue rose from $1.59 billion for the 12 months period that ended on Feb. 28, 2011 to $1.69 billion for the 12 months period that ended on Feb. 29, 2012.
Those who are current investors in American Greetings Corporation (NYSE:AM) and purchased their American Greetings shares prior to the announcement, have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego