Comverse Technology, Inc.
Robbins Umeda LLP Announces an Investigation of Comverse Technology, Inc.
Robbins Umeda LLP has commenced an investigation into possible breaches of fiduciary duty and other violations of the law by members of the board of directors of Comverse Technology, Inc. (Nasdaq: CMVT) in connection with their efforts to sell the company to its subsidiary Verint Systems Inc. (Nasdaq: VRNT). Concerned shareholders who would like more information about their rights and potential remedies can complete the form below and we will contact you directly. You can also contact attorney Gregory E. Del Gaizo at (800) 350-6003.
On August 13, 2012, Comverse Technology announced that it had entered into a definitive merger agreement to be acquired by Verint. According to the terms of the deal, following completion of Comverse Technology’s previously announced distribution to its shareholders, Verint will acquire the Comverse Technology holding company. Pursuant to the agreement, a newly formed wholly-owned subsidiary of Verint will acquire Comverse Technology, and Verint will issue to Comverse Technology shareholders new Verint common shares. Comverse Technology shareholders are expected to receive approximately 0.13 shares of Verint common stock for each share of Comverse Technology they own. The transaction is expected to close in the first fiscal quarter ending April 30, 2013.
Robbins Umeda LLP’s investigation focuses on whether the board of directors at Comverse Technology is undertaking a fair process to obtain maximum value and adequately compensate its shareholders. Notably, the agreement contains a no-solicitation provision, as well as a $10 million “break-up fee” plus expenses payable by Comverse Technology if it accepts a higher bid.
Robbins Umeda LLP attorneys highlight that Comverse Technology shareholders have the option to file a class action lawsuit against the company to secure the best possible price for the company’s shareholders and the disclosure of material information to shareholders so they can vote on the transaction in an informed manner.
Robbins Umeda LLP is a nationally recognized leader in securities litigation and shareholder rights law. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested.