An investigation on behalf of investors of The Pep Boys - Manny, Moe & Jack (NYSE:PBY) in connection with the takeover was announced and NYSE:PBY stockholders should contact the Shareholders Foundation.
San Diego, CA, USA (January 31, 2012) -- The Shareholders Foundation announces that an investigation for investors in the Pep Boys (NYSE:PBY) shares was initiated concerning whether the offer to acquire The Pep Boys for $15 per share and the buyout process are unfair to investors in NYSE:PBY shares.
Investors who purchased shares of The Pep Boys - Manny, Moe & Jack (NYSE:PBY) prior to Jan. 30, 2012 and currently hold those PBY shares, have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 – 1554.
The investigations by law firms concern whether the Pep Boys, certain officers and directors, and/or others breached their fiduciary duties to The Pep Boys (PBY) investors in connection with the proposed acquisition.
On Monday, Jan 30, 2012, The Pep Boys - Manny, Moe & Jack announced that it has entered into a merger agreement under which it will be acquired by The Gores Group for a total enterprise value of the transaction is approximately $1.0 billion. Under the terms of the proposed transaction, The Gores Group will acquire all the outstanding common shares of The Pep Boys for $15.00 per share in cash.
However at least one analyst recently set a high target price for NYSE PBY shares at $17.00 per share, thus well above the current offer. Additionally, the Pep Boys’ financial performance increase lately. The Pep Boys reported that its Total Revenue rose from $1.91billion for a 52weeks period ending on Jan 30, 2010 to $1.98billion for a 52weeks period ending on Jan 29, 2011 and its Net Income over the same time periods increased from $23.04million to $36.63million.
Thus given the financial performance of the Pep Boys and the analyst’s target price for NYSE:PBY the investigation focuses on whether offer by The Gores Group undervalues NYSE:PBY shares. Further the investigation for NYSE:PBY investors concerns whether the Pep Boys Board of Directors undertook an adequate sales process and in particular breached their fiduciary duties to the Pep Boys (PBY) shareholders by failing to adequately shop the Company before entering into this transaction.
Those who are current investors in The Pep Boys - Manny, Moe & Jack (Public, NYSE:PBY) and purchased your NYSE:PBY shares prior to January 30, have certain options and should contact the Shareholders Foundation.
About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, and an investor advocacy group, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.
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