Citadel Broadcasting Corp.
Robbins Umeda LLP Is Investigating Citadel Broadcasting Corporation Acquisition for Shareholders
Robbins Umeda LLP, a shareholder rights litigation firm, is investigating possible breaches of fiduciary duty and other violations of state law by members of the board of directors of Citadel Broadcasting Corporation (OTC: CDELB.PK) in connection with their efforts to sell Citadel Broadcasting to Cumulus Media, Inc. (NASDAQ: CMLS).
If you own stock in Citadel Broadcasting and would like more information about your rights as a shareholder, please contact attorney Gregory E. Del Gaizo at 800-350-6003 or by e-mail at email@example.com.
On March 10, 2011, Cumulus announced it has entered into a definitive merger agreement to purchase Citadel Broadcasting. Under the current agreement, each outstanding share of Citadel common stock will be converted into the right to receive, at the election of its holder (subject to certain limitations and adjustments as set forth in the merger agreement): (1) up to $37.00 in cash; or (2) 8.525 shares of Cumulus common stock. The transaction is expected to close by the end of 2011.
The investigation seeks to determine whether Citadel Broadcasting’s board of directors undertook a fair process to obtain maximum value for its shareholders. Specifically, the investigation concerns whether the board is taking advantage of Citadel Broadcasting’s recent emergence from bankruptcy and positive third quarter earnings for 2010 by striking a deal while the stock price is still depressed.