NEW YORK, April 8, 2016 /PRNewswire/ -- WeissLaw LLP is investigating possible breaches of fiduciary duty and other violations of law by the Board of Directors of Virgin America Inc. ("VA" or the "Company") in connection with the proposed acquisition of the Company by Alaska Air Group, Inc. ("ALK"). On April 4, 2016, VA and ALK jointly announced the acquisition of VA, pursuant to which VA shareholders will receive $57.00 in cash for each VA share they own.
WeissLaw is investigating whether VA's Board acted to maximize shareholder value prior to entering into the agreement. Notably, ALK announced that it expected the transaction to be immediately accretive to adjusted earnings per share in the first full year. In addition, ALK announced that it expected a 27% increase in annual revenue. Further, the acquisition of VA will: (1) expand ALK's presence in the West Coast; (2) improve ALK's access to valuable slots and gates in New York and California; (3) increase ALK's fleet to 280 aircrafts, and include a new fleet of WiFi-enabled, technology-friendly aircraft; (4) increase ALK's daily departures to 1,200; (5) increase ALK's customer base; and (6) strengthen ALK as a competitor to the four largest U.S. airlines.
Given these facts, WeissLaw is investigating whether VA's Board acted in the best interests of VA's public shareholders to maximize shareholder value prior to entering into the agreement with ALK. If you own VA shares and would like more information about your rights or our investigation, or if you have information to share with us, please contact Joshua Rubin by telephone at (888) 593-4771 or by email at firstname.lastname@example.org.
WeissLaw LLP has litigated hundreds of stockholder class and derivative actions for violations of corporate and fiduciary duties. We have recovered over a billion dollars for defrauded clients and obtained important corporate governance relief in many of these cases. If you have information or would like legal advice concerning possible corporate wrongdoing (including insider trading, waste of corporate assets, accounting fraud, or materially misleading information), consumer fraud (including false advertising, defective products, or other deceptive business practices), or anti-trust violations, please email us at email@example.com or fill out the form on our website, http://www.weisslawllp.com/contact/report_fraud/.
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/virgin-america-inc-acquisition-may-not-be-in-the-best-interests-of-va-shareholders-300248520.html
SOURCE WeissLaw LLP