Shareholders Foundation, Inc.

PLX Technology, Inc. (NASDAQ:PLXT) Investor Alert: Takeover Under Investigation

An investigation on behalf of investors of PLX Technology, Inc. (NASDAQ:PLXT) in connection with the proposed takeover was announced and NASDAQ:PLXT stockholders should contact the Shareholders Foundation.

 

San Diego, CA -- (ReleaseWire) -- 06/25/2014 -- An investigation on behalf of investors, who currently hold shares of PLX Technology, Inc. (NASDAQ:PLXT), was announced concerning whether the takeover of PLX Technology, Inc. by Avago Technologies Limited for $6.50 per share is unfair to NASDAQ:PLXT stockholders.

Investors who purchased shares of PLX Technology, Inc. (NASDAQ:PLXT) and currently hold any of those NASDAQ:PLXT shares have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

The investigation by a law firm concerns whether certain officers and directors of PLX Technology, Inc. breached their fiduciary duties owed to NASDAQ:PLXT investors in connection with the proposed acquisition.

On June 23, 2014,Avago Technologies Limited(Nasdaq:AVGO,) and PLX Technology, Inc. (NASDAQ:PLXT) announced that they have entered into an agreement under which Avago Technologies Limited will acquire PLX Technology, Inc. (NASDAQ:PLXT) in an all-cash transaction valued at approximately $309 million, or $293 million net of cash and debt acquired. Under the terms of the agreement a subsidiary of Avago Technologies Limited will commence a tender offer for all of the outstanding shares of PLX Technology, Inc common stock for $6.50 per share in cash.

However, given that at least one analyst has set the high target price for NASDAQ:PLXT shares at $8.00 per share, the investigation concerns whether the offer is unfair to NASDAQ:PLXT stockholders.

Furthermore, given that Potomac Capital Partners II, L.P., which is the largest stockholder of PLX Technology, Inc., certain senior members of the PLX Technology, Inc. management team and all of the directors of PLX Technology, Inc., collectively owning approximately 14.7% of shares outstanding on fully diluted basis have already executed a Tender and Support Agreement in support of the transaction and that Discovery Group I, LLC, the second largest stockholder of PLX Technology, Inc., has informed PLX Technology, Inc. that it supports the transaction, the investigation concerns whether the PLX Technology Board of Directors undertook an adequate sales process, adequately shopped the company before entering into the transaction, maximized shareholder value by negotiating the best price, and acted in the shareholders' best interests in connection with the proposed sale.

PLX Technology, Inc. reported that its annual Total Revenue rose from $100.25 million in 2012 to $104.49 million in 2013 and that its Net Loss of $32.59 million in 2012 turned into a Net Income of $7.14 million in 2013. Shares of PLX Technology, Inc. (NASDAQ:PLXT) grew from $3.54 per share in December 2012 to as high as $6.74 per share in January 2014.

On June 23, 2014, NASDAQ:PLXT shares closed at $6.48 per share.

Those who are current investors in PLX Technology, Inc. (NASDAQ:PLXT) 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