SAN DIEGO, May 16, 2016 /PRNewswire/ -- Shareholder rights law firm Johnson & Weaver, LLP has launched an investigation into whether the board members of Memorial Resource Development Corp. (NASDAQ: MRD) breached their fiduciary duties in connection with the proposed sale of the Company to Range Resources Corporation (NYSE: RRC).
Memorial Resource is an independent natural gas and oil company that engages in the acquisition, exploitation and development of natural gas, natural gas liquids and oil properties primarily in North Louisiana.
On May 16, 2016, Memorial Resource announced it had signed a definitive merger agreement with Range Resources. Under the definitive agreement, Memorial Resource shareholders will receive 0.375 shares of Range Resources common stock for each share of Memorial Resource common stock held. Based on the Range closing price on May 13, 2016, the transaction has an implied value to Memorial Resource shareholders of $15.75 per share. Memorial Resource shareholders will be subject to the future volatility and price fluctuation of the common stock of Range Resources.
The investigation concerns whether the Memorial Resource 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 Memorial Resource shares of common stock. Nationally recognized Johnson & Weaver is investigating whether the proposed deal price represents adequate consideration; especially given that the average price target for twenty-two Wall Street analyst is $17.75. Memorial Resource's 52-week high was $20.60.
If you are a shareholder of Memorial Resource and believe the proposed buyout price is too low or you're interested in learning more about the investigation or your legal rights and remedies, please contact lead analyst Jim Baker (firstname.lastname@example.org) at 619-814-4471. If emailing, please include a phone number where you can be reached.
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