NEW YORK, May 29, 2015 /PRNewswire-USNewswire/ -- The
proposed acquisition of Broadcom Corp. ("BRCM" or the "Company") by
Avago Technologies Limited ("AVGO") is being investigated by
WeissLaw LLP for possible breaches of fiduciary duty and other
violations of law by the Board of Directors of BRCM. In a
joint press release dated May 28,
2015, AVGO announced it will acquire all outstanding shares
of BRCM in a cash and stock transaction valued at approximately
$37 billion. Shareholders will
receive $54.50 in cash or 0.4378 of
an AVGO share for each BRCM share owned. After closing, BRCM
shareholders will own a mere 32% of the combined company.
WeissLaw is investigating whether BRCM's Board acted to maximize
shareholder value. Notably, at least one analyst set a price
target of $67.00 per share, or
$10.50 above the offer price.
Further, on April 21, 2015, the
Company announced positive financial results. It reported net
revenues of $2.06 billion in the
first quarter of 2015, as compared to $1.98
billion in the same period of the previous year,
representing a 3.7% increase year-over-year and a double digit
growth for the past three years in the ING division.
Additionally, on May 27, 2015, the
day before the announcement, BRCM's stock traded for $57.70, or $3.20
above the offer price.
Given these facts, WeissLaw is investigating the BRCM Board's
decision to sell out early and whether BRCM shareholders are
receiving their fair and proportionate share of the Company's
continued success and future growth prospects. If you own
BRCM shares and would like more information about your rights or
our investigation, or if you have information to share with us,
please contact Joshua Rubin by
telephone at (888) 593-4771 or by email at
stockinfo@weisslawllp.com.
WeissLaw LLP has litigated hundreds of stockholder class and
derivative actions for violations of corporate and fiduciary
duties. We have recovered over a billion dollars for
defrauded clients and obtained important corporate governance
relief in many of these cases. If you have information or
would like legal advice concerning possible corporate wrongdoing
(including insider trading, waste of corporate assets, accounting
fraud, or materially misleading information), consumer fraud
(including false advertising, defective products, or other
deceptive business practices), or anti-trust violations, please
email us at stockinfo@weisslawllp.com or fill out the form
on our website,
http://www.weisslawllp.com/contact/report_fraud/.
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SOURCE WeissLaw LLP