SAN DIEGO, May 8, 2017 /PRNewswire/ -- Shareholder rights law firm Johnson & Weaver, LLP (J&W) has launched an investigation into whether the board members of Kate Spade & Company (NYSE: KATE) breached their fiduciary duties in connection with the proposed sale of the Company to Coach, Inc. (NYSE: COH). Kate Spade designs and markets apparel and accessories.
On May 8, 2017, Kate Spade announced it had signed a definitive merger agreement with Coach. Under the terms of the agreement, Coach will acquire all of the outstanding shares of Kate Spade common stock for $18.50 per share in cash.
The investigation concerns whether the Kate Spade board failed to satisfy their duties to the Company shareholders, including whether the board adequately pursued alternatives to the acquisition and whether the board obtained the best price possible for Kate Spade shares of common stock.
Nationally recognized Johnson & Weaver is investigating whether the proposed deal price represents adequate consideration, especially given the following:
- The Company's positive outlook for future revenue and earnings growth.
- One Wall Street analyst has a $26.00 price target on the stock, which is far more than the $18.50 offer price.
- Last year the stock traded as high as $24.24.
If you are a shareholder of Kate Spade and believe the proposed buyout price is too low and you're interested in learning more about the investigation or your legal rights and remedies, please contact lead analyst Jim Baker (email@example.com) at 619-814-4471.
About Johnson & Weaver, LLP:
Johnson & Weaver, LLP is a nationally recognized shareholder rights law firm with offices in California, New York and Georgia. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits. For more information about the firm and its attorneys, please visit http://www.johnsonandweaver.com. Attorney advertising. Past results do not guarantee future outcomes.
Johnson & Weaver, LLP
Jim Baker, 619-814-4471
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SOURCE Johnson & Weaver, LLP