Robbins Umeda LLP Announces an Investigation of Convio, Inc.
Robbins Umeda has commenced an investigation into possible breaches of fiduciary duty and other violations of the law by members of the board of directors of Convio, Inc. (NASDAQ: CNVO) in connection with their efforts to sell the company to Blackbaud, Inc. (NASDAQ: BLKB). 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 January 17, 2012, it was announced that Convio entered into a definitive merger agreement pursuant to which Blackbaud will acquire all outstanding shares of Convio’s common stock in an all-cash transaction. According to the terms of the deal, Convio shareholders will receive $16.00 for each share of the company they own. The transaction is structured as a tender offer and is expected to close during the first quarter of 2012.
Robbins Umeda LLP’s investigation focuses on whether Convio’s Board is undertaking a fair process to obtain maximum value and adequately compensate shareholders in light of the company’s recent positive financial results. Notably, on November 3, 2011, Convio reported financial results for the third quarter of fiscal year 2011 that beat analyst expectations. The company reported non-GAAP diluted EPS of $0.12, beating analyst estimates of only $0.10. Additionally, Convio reported revenue of $21.04 million, up 18% from the same quarter in previous year, and well above analyst estimates of only $20.83 million. Furthermore, a leading financial analyst has released a target price that values Convio stock at $17.00 per share, considerably higher than the value currently being offered by Blackbaud as part of the transaction.
Robbins Umeda attorneys highlight that Convio 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.