Robbins Umeda LLP Is Investigating Cephalon, Inc. Acquisition for Shareholders
Robbins Umeda LLP, a shareholder rights litigation firm, is interested in helping shareholders of Cephalon, Inc. (NASDAQ: CEPH). The firm has commenced an investigation into possible breaches of fiduciary duty and other violations of state law by members of the board of directors of Cephalon in connection with their efforts to sell Cephalon to Teva Pharmaceutical Industries Ltd. (NASDAQ: TEVA).
On May 2, 2011, Teva and Cephalon announced that their boards of directors have approved a definitive agreement under which Teva will acquire all outstanding shares of Cephalon for $81.50 per share. The transaction is expected to be completed in the third quarter of 2011.
The investigation focuses on whether Cephalon’s board is undertaking a fair process to obtain maximum value for its shareholders. The purchase price of $81.50 represents only a 6% premium to Cephalon’s closing price on April 29, 2011, the last trading day prior to the acquisition announcement. One analyst raised its price target of $92 following the company’s record sales and strong earnings reported on February 20, 2011. Moreover, another analyst stated in their March 30, 2011 report that they “believe that appropriate takeover value is approximately $119 per share.”
If you own stock in Cephalon and would like more information about your shareholder rights, please complete the form below and we will contact you directly. We also welcome you to call us at 800-350-6003.