San Diego, CA -- (ReleaseWire) -- 06/25/2012 -- An investor in NYSE:IBI shares filed a lawsuit against members of the board of directors of Interline Brands Inc in effort to stop the proposed takeover of Interline Brands Inc at $25.50 per NYSE IBI share.
Investors who purchased shares of Interline Brands Inc (NYSE:IBI) prior to May 29, 2012 and currently hold any of those NYSE:IBI shares, have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 - 1554.
The plaintiff claims that the defendants breached their fiduciary duties owed to NYSE:IBI investors in connection with the proposed acquisition.
On May 29, 2012, Interline Brands, Inc. (NYSE:IBI) announced that it has entered into an agreement to be acquired by affiliates of GS Capital Partners LP and P2 Capital Partners, LLC for $25.50 per share in cash.
However, the plaintiff alleges that the $25.50offer is unfair to NYSE:IBI investors and undervalues the company given its “recent strong performance and its promising outlook and positioning for growth”. In fact, Interline Brands Inc (NYSE:IBI) has performed well for its investors in the past. Its Total Revenue increased from $1.05billion for the 52weeks period ending on Dec. 25, 2009 to $1.24billion for the 52weels period ending on Dec. 30, 2011 and its Net Income rose from $26.09million to $37.67million over the respective time periods. Furthermore, shares of Interline Brands Inc (NYSE:IBI) grew from as low as $6.56 per share in March 2009 to as high as $21.81 on March 09, 2012.
In addition the proposed transaction includes a prohibitive termination fee that "illegally restrain[s] the Company's ability to solicit or engage in negotiations with any third party regarding a proposal to acquire all or a significant interest in the Company", so the plaintiff.
Those who are current investors in Interline Brands Inc (NYSE:IBI) and purchased their Interline Brands Inc shares prior to the announcement, have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego