NEW YORK, June 9, 2016 /PRNewswire/ -- WeissLaw LLP is investigating possible breaches of fiduciary duty and other violations of law by the Board of Directors of Westar Energy, Inc. ("WR" or the "Company") in connection with the proposed acquisition of the Company by Great Plains Energy, Inc. ("GXP"). On May 31, 2016, the Company announced it had reached a definitive agreement for GXP to acquire all outstanding shares of WR in a transaction valued at approximately $12.2 billion, inclusive of debt. Under the terms of the agreement, WR shareholders will receive $51.00 in cash and $9.00 in GXP common stock for each WR share they own.
WeissLaw is investigating whether WR's Board acted to maximize shareholder value prior to entering into the agreement. Notably, the Company recently announced positive financial results for the first quarter of 2016. On May 3, 2016, WR reported earnings of $66 million as compared with $51 million reported in the same period of the previous year, representing an increase of approximately 30% year-over-year. Additionally, WR is Kansas' largest electric provider, servicing over 700,000; the acquisition of WR will increase GXP's customer base to 1.5 million customers and expand its territory. Finally, GXP announced that it expected the transaction to be "significantly accretive" in the years following the acquisition.
Given these facts, WeissLaw is investigating whether WR's Board acted in the best interests of WR's public shareholders to maximize shareholder value prior to entering into the agreement. If you own WR 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/.
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SOURCE WeissLaw LLP