China Housing & Land Development Management Buyout Alert -- Leading National Securities Law Firm Seeks Higher Price For Shareholders
NEW YORK, Aug. 25, 2014 /PRNewswire/ -- Tripp Levy PLLC, a leading national securities and shareholder rights law firm, announces that it is investigating the acquisition of China Housing & Land Development, Inc. (NASDAQ: CHLN) ("CHLD" or the "Company") on behalf of its shareholders relating to the going-private transaction by which the Company will voluntarily de-list from the NASDAQ Global Market and suspend its reporting obligations under the Securities Exchange Act of 1934. On August 25, 2014, CHLN announced the going-private transaction pursuant to which the Company will commence a reverse stock split where every 50,000 shares of publicly traded common stock will be converted into one whole share of CHLN common stock. Instead of issuing fractional shares, CHLN announced it would make a cash payment equal to $1.75 for each pre-reverse stock split share
The investigation concerns possible breaches of fiduciary duty and other violations of state law by the Board of Directors of CHLN for not acting in CHLN shareholders' best interests in connection with the sale process of CHLN. The investigation seeks to determine if there was an adequate auction process and if certain insiders of the Company are underpaying for CHLN shares. Indeed, CHLN has a book value of at least $3.77 per share, and the stock traded as high as $3.18 within the past year. In addition, the investigation seeks to determine if there were any conflicts of interest on the part of senior management and members of the board of directors in buying the Company for their own self-interests.
If you are a shareholder of CHLN and would like additional information regarding this matter, at no cost or expense, please contact us at:
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SOURCE Tripp Levy PLLC