A lawsuit was filed by investor in shares of Journal Communications, Inc. (NYSE:JRN) in effort to stop the proposed takeover and NYSE:JRN stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 08/19/2014 -- An investor, who currently holds shares of Journal Communications, Inc. (NYSE:JRN) filed a lawsuit in effort to halt the proposed takeover of Journal Communications by E.W. Scripps Co.
Investors who purchased shares of Journal Communications, Inc. (NYSE:JRN) and currently hold any of those NYSE:JRN 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:JRN stockholders by agreeing to sell Journal Communications, Inc too cheaply via an unfair process to E.W. Scripps Co.
On July 30, 2014, it was reported that Journal Communications and E.W. Scripps Co. announced a deal to merge their broadcast properties as well as spin off their newspapers into a new company. Journal Communications, Inc.’s Class A and Class B shareholders will receive 0.5176 Scripps Class A Common shares and 0.1950 shares in Journal Media Group for each Journal Communications share. Scripps shareholders will receive 0.2500 shares in Journal Media Group for each Class A Common Share and each Common Voting Share they hold in Scripps.
However, the plaintiff claims that the offer is unfair to NYSE:JRN stockholders and undervalues Journal Communications. Indeed, Journal Communications, Inc. reported that its Total Revenue rose from $351.45 million for the 52 weeks period that ended on Dec. 25, 2011 to $397.27 million for the 52 weeks period that ended on Dec. 29, 2013. Shares of Journal Communications, Inc. (NYSE:JRN) grew from $0.49 per share in March 2009 to as high as $9.66 per share in November 2013.
Furthermore, the plaintiff alleges that the process is also unfair to NYSE:JRN stockholders.
On August 15, 2014, NYSE:JRN shares closed at $9.65 per share.
Those who are current investors in Journal Communications, Inc. (NYSE:JRN) 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