An investigation on behalf of investors of Ralcorp Holdings, Inc. (NYSE:RAH) in connection with the proposed takeover was announced and NYSE:RAH stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 11/28/2012 -- An investigation on behalf of investors in Ralcorp Holdings, Inc. (NYSE:RAH) shares was announced concerning whether the offer by ConAgra Foods, Inc. to acquire Ralcorp Holdings, Inc. at $90.00 per NYSE:RAH share and the takeover process are unfair to investors in NYSE:RAH shares.
Investors who purchased shares of Ralcorp Holdings, Inc. (NYSE:RAH) prior to November 27, 2012, and currently hold any of those NYSE:RAH 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 Ralcorp Holdings, Inc. breached their fiduciary duties owed NYSE:RAH investors in connection with the proposed acquisition.
On Nov. 27, 2012, ConAgra Foods, Inc. (NYSE: CAG) and Ralcorp Holdings, Inc. (NYSE: RAH) announced that the boards of directors of both companies have approved an agreement under which ConAgra Foods will acquire Ralcorp. The transaction is valued at approximately $6.8 billion, including the assumption of debt.
Under the terms of the agreement, Ralcorp shareholders will receive $90.00 per share in cash for each outstanding share of common stock held, representing a 28.2% premium to the closing price of Ralcorp’s common stock on November 26, 2012, and a 24.9% premium to the average closing price of Ralcorp’s common stock for the 30 trading days ending November 26, 2012.
Following the announcement shares of Ralcorp Holdings, Inc. (NYSE:RAH) jumped from $70.33 on Nov. 26, 2012 to $88.84 per share on Nov. 27, 2012.
However, ConAgra Foods said in September 2011 it reiterated its $94 per share, all-cash proposal to acquire Ralcorp Holdings, Inc. (NYSE: RAH) after Ralcorp Holdings previously rejected its proposal, without dialogue with ConAgra Foods, on August 12, 2011. Later in September 2011 Ralcorp Holdings, Inc. announced that its Board of Directors has met again to consider the unsolicited, non-binding proposal from ConAgra Foods to acquire Ralcorp for $94.00 per share in cash and that the Board has again reiterated its rejection of ConAgra's proposal to acquire Ralcorp and determined not to enter into negotiations with respect to that proposal.
Back in September 2011 a news outlet published a story entitled “Ralcorp Board Costing Investors $1 Billion in ConAgra Opposition.’
Therefore, the investigation a law firm concerns whether the proposed transaction is unfair to NYSE:RAH stockholders. Specifically, the investigation focuses on whether the Ralcorp Holdings Board of Directors undertook an adequate sales process, adequately shopped the company before entering into the transaction, maximized shareholder value by negotiating the best price, and acted in the shareholders' best interests in connection with the proposed sale.
Those who are current investors in Ralcorp Holdings, Inc. (NYSE:RAH), have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego