A lawsuit was filed for investors in shares of Tellabs, Inc. (NASDAQ:TLAB) in effort to halt the proposed takeover and NASDAQ:TLAB stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 10/28/2013 -- An investor, who currently hold shares of Tellabs, Inc. (NASDAQ:TLAB), filed a lawsuit in effort to halt the proposed takeover of Tellabs, Inc. by Marlin Equity Partners for $2.45 per NASDAQ:TLAB share.
Investors who purchased shares of the Tellabs, Inc. (NASDAQ:TLAB) and currently hold any of those NASDAQ:TLAB 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 NASDAQ:TLAB stockholders arising out of the attempt to sell Tellabs, Inc. too cheaply via an unfair process to Marlin Equity Partners.
On Oct. 21, 2013, Tellabs, Inc. announced that it has entered into a merger agreement with entities affiliated with Marlin Equity Partners (“Marlin”), which provides that Marlin entities will acquire all of the outstanding shares of Tellabs for $2.45 per share in cash.
However, the plaintiff claims that the offer is too low and undervalues Tellabs, Inc intrinsic value and favors certain insiders, who will receive over $110 million from the deal, over stockholders.
Indeed, NASDAQ:TLAB shares traded as high as $3.49 per share in December 2012, respectively $4.29 per share in early 2012. Tellabs, Inc. reported that its while its Total Revenue declined from over $1.28 billion for the 12 months period that ended on Dec. 30, 2011 to over $1.05 billion for the 12 months period that ended on Dec. 28, 2012, that its Net Loss for those time periods declined from $188.40 million to $171.70 million.
Shares of Tellabs, Inc. (NASDAQ:TLAB) traded in 2010 as high as $9.09 per share
In addition, the plaintiff claims that the defendants agreed to a flawed and deficient sales process that is unfair to TLAB stockholders. In fact, Michael J. Birck, Tellabs’s co-founder and second-largest stockholder, has already communicated to Tellabs that he supports the transaction.
On Oct. 25, 2013, NASDAQ:TLAB shares closed at $2.43 per share.
Those who are current investors in Tellabs, Inc. shares have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego