Milberg LLP's investigation is focusing on the potential unfairness of the consideration being offered to American Capital's stockholders, as well as the process by which American Capital's Board of Directors considered and approved the proposed deal, and is (among other things) scrutinizing the Board's decision to sell the Company at this time under the circumstances, including among others those described below, rather than allowing American Capital's stockholders the full opportunity to continue to participate and share in America Capital's future prospects for business and financial success and growth.
Among other things, the approximately $17.40 merger consideration is below the target price of $18.00 per share recently set by at least one independent stock analyst. In addition, on May 6, 2016, American Capital recently reported strong financial results for its first quarter 2016. For example, American Capital's total operating income for that quarter reportedly increased 5.2% (to $162 million) when compared to the same period in the prior year, and its net operating income reportedly rose 48% (to $74 million) compared to the same period the prior year.
Concerned investors are invited to contact the Milberg attorneys listed below to discuss the investigation, their rights, and/or potential remedies.
Founded in 1965, Milberg LLP was one of the first law firms to prosecute class actions in federal courts on behalf of investors and consumers and has been representing investors and consumers for more than four decades, and has recovered billions of dollars on behalf of aggrieved stockholders and consumers in complex class and derivative litigation nationwide. Milberg LLP, with offices in Manhattan, Los Angeles and Detroit, is widely recognized as a leader in defending the rights of victims of corporate and other large-scale wrongdoing, serving as lead counsel in federal and state courts throughout the United States. For more information, please visit the firm website at www.milberg.com.
Kent A. Bronson
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SOURCE Milberg LLP