A lawsuit was filed for investors in shares of WashingtonFirst Bankshares Inc (NASDAQ:WFB)) in connection with the proposed takeover and NASDAQ:WFBI) stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 08/30/2017 -- The Shareholders Foundation announces that an investor, who currently holds shares of WashingtonFirst Bankshares Inc (NASDAQ:WFBI)), filed a lawsuit against the takeover of WashingtonFirst Bankshares Inc by Sandy Spring Bancorp, Inc is unfair to NASDAQ:WFBI stockholders.
Investors who purchased shares of WashingtonFirst Bankshares Inc and currently hold any of those NASDAQ:WFB shares have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call 858-779-1554.
The plaintiff alleges that the defendants breached their fiduciary duties owed to NASDAQ:WFBI stockholders by agreeing to sell WashingtonFirst Bankshares Inc. cheaply via an unfair process to Sandy Spring Bancorp, Inc.
On May 16, 2017, Sandy Spring Bancorp, Inc. (Nasdaq: SASR), the parent company of Sandy Spring Bank, and WashingtonFirst Bankshares, Inc. (Nasdaq: WFBI), the parent company of WashingtonFirst Bank, jointly announced they have entered into an agreement for Sandy Spring to acquire the Virginia-based WashingtonFirst to create one of the premier banks in the Greater Washington, D.C. region. Under the terms of the agreement, WashingtonFirst Bankshares Inc (NASDAQ:WFBI) shareholders are expected to receive 0.8713 shares of Sandy Spring common stock for each share owned of WashingtonFirst common stock, subject to adjustment if Sandy Spring's average stock price during a specified measurement period prior to closing is more than $50.15 or less than $37.07 per share. Based on a closing price of $42.72 per NSADAQ:SASR shares on May 15, 2017 investors in NASDAQ:WFBI shares will receive a value of approximately $37.22 per NASDAQ:WFBI share.
However, plaintiff claims that the proposed consideration NASDAQ:WFBI shareholders will receive with Sandy Spring Bancorp, Inc offer is grossly inadequate and undervalues WashingtonFirst Bankshares Inc. Indeed, at least one analyst has set the high target price for NASDAQ:WFBI shares at $38.00 per share. In addition, the plaintiff alleges that the process is also unfair NASDAQ:WFBI stockholders
Those who are current investors in WashingtonFirst Bankshares Inc shares have certain options and should contact the Shareholders Foundation.
Contact:
Shareholders Foundation, Inc.
Michael Daniels
3111 Camino Del Rio North - Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com