Shareholders Foundation, Inc.

Fusion-IO, Inc. (NYSE:FIO) Investor Alert: Lawsuit Filed to Halt the Takeover by SanDisk Corporation

A lawsuit was filed by an investor in shares of Fusion-IO, Inc. (NYSE:FIO) in effort to stop the proposed takeover and NYSE:FIO stockholders should contact the Shareholders Foundation.

 

San Diego, CA -- (ReleaseWire) -- 06/23/2014 -- An investor, who currently holds shares of Fusion-IO, Inc. (NYSE:FIO) filed a lawsuit in effort to halt the takeover of Fusion-IO, Inc. by SanDisk Corporation.

Investors who purchased in excess of 20,000 shares of Fusion-IO, Inc. (NYSE:FIO) and currently hold any of those NYSE:FIO shares have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

The plaintiff alleges that the defendants breached their fiduciary duties owed to NYSE:FIO stockholders by agreeing to sell Fusion-IO, Inc too cheaply via an unfair process to SanDisk Corporation.

On June 16, 2014 SanDisk Corporation (NASDAQ: SNDK) announced an agreement to acquire Fusion-io (NYSE: FIO). The acquisition will be an all-cash transaction valued at approximately $1.1 billion, net of cash assumed. Under the terms of the agreement, SanDisk will commence a tender offer for all outstanding shares of Fusion-io for $11.25 per share in cash.

However, the plaintiff claims that the offer is too low and undervalues Fusion-IO, Inc. Indeed, at least one analyst has set the high target price for NYSE:FIO shares at $16.00 per share. Furthermore, NYSE:FIO shares traded as high as $12.27 per share as recently as March 2014 and reached over $22 per share in early 2013. In addition, Fusion-IO, Inc. reported that its Total Revenue rose from $197.20 million for the 12 months period that ended on June 30, 2011 to $432.39 million for the 12 months period that ended on June 30, 2013.

On June 20, 2014, NYSE:FIO shares closed at $11.69 per share.

Those who are current investors in Fusion-IO, Inc. (NYSE:FIO) shares have certain options and should contact the Shareholders Foundation.

Contact:
Shareholders Foundation, Inc.
Trevor Allen
3111 Camino Del Rio North - Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com