A lawsuit was filed for investors in shares of Ralcorp Holdings, Inc. (NYSE:RAH) in effort to block the proposed takeover and current NYSE:RAH stockholders are encouraged to contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 12/17/2012 -- An investor in shares of Ralcorp Holdings, Inc. (NYSE:RAH) filed a lawsuit against directors of Ralcorp Holdings in effort to halt the proposed takeover of Ralcorp Holdings, Inc. by ConAgra Foods, Inc. at $90.00 per NYSE:RAH share.
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 plaintiff alleges that the defendants breached their fiduciary duties owed NYSE:RAH stockholders by agreeing to sell the company too cheaply via an unfair process to ConAgra Foods, Inc.
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.
However, the plaintiff alleges that the $90offer is unfair to NYSE:RAH stockholders and undervalues the company. Indeed in September 2011 ConAgra Foods offered to buy Ralcorp. Holdings, Inc. at $94 per share. But the board of directors rejected the $94offer in September 2011. Back in September 2011 a news outlet published a story entitled “Ralcorp Board Costing Investors $1 Billion in ConAgra Opposition.’
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