Block & Leviton LLP Investigates Schiff Nutrition International Inc. for Possible Breaches of Fiduciary Duty in Connection With Its Proposed Sale to Bayer AG
BOSTON, Oct. 30, 2012 /PRNewswire/ -- Block & Leviton LLP (www.blockesq.com), a Boston-based law firm representing investors nationwide, has commenced an investigation into possible breaches of fiduciary duties by the Board of Directors of Schiff Nutrition International Inc. ("Schiff" or the "Company") (NYSE: SHF) with regards to their recently announced sale to Bayer AG ("Bayer"), scheduled to close by the end of the year.
Under the terms of the agreement, Schiff shareholders will receive $34.00 per Schiff share held at the time of the transaction. The proposed acquisition has been approved by the Company's two largest shareholders, who together control approximately 85% of Schiff's voting rights. Block & Leviton's investigation seeks to determine, among other things, whether Schiff's Directors breached their fiduciary duties by failing to maximize shareholder value in the proposed transaction and whether minority shareholder interests were properly protected by the Schiff Directors when they considered and approved the transaction.
Schiff shares have more than doubled in value during 2012, and the Company appears poised for continued future growth. In the Company's most recent press release prior to the announcement, Schiff presented fiscal first quarter 2013 results of sales of $85.1 million compared to 2012 first quarter results of $58.2 million, an increase of over 46 percent. In addition, adjusted EBITDA, defined as income from operations before depreciation, amortization, stock-based compensation and completed acquisitions, including transaction and other related costs, was $17.4 million for the fiscal 2013 first quarter, compared to $9.6 million for the same period in fiscal 2012, an increase of over 80 percent.
If you are a Schiff shareholder and have questions about your legal rights, or if you have information relevant to this investigation, please contact attorney Steven P. Harte at (617) 398-5600 or email him at Steven@blockesq.com.
Block & Leviton is a Boston-based law firm representing investors nationwide for violations of securities laws. The firm's lawyers have collectively been prosecuting securities cases on behalf of investors for over 50 years. This notice may constitute attorney advertising.
BLOCK & LEVITON LLP
Steven P. Harte, Esq.
SOURCE Block & Leviton LLP