BOSTON, Jan. 13, 2014 /PRNewswire/ -- Block & Leviton LLP (www.blockesq.com), a Boston-based law firm representing investors nationwide, has commenced an investigation into possible breaches of fiduciary duty by the Board of Directors of Beam, Inc. ("Beam" or the "Company") (NYSE: BEAM) concerning the proposed acquisition of the Company by Suntory Holdings ("Suntory"), in a transaction valued at approximately $16 billion, including the assumption of debt. Under the terms of the transaction, Suntory will acquire each Beam share for $83.50, representing a paltry premium of 24% to Beam's closing share price on Friday, January 10, 2014.
Beam, the parent company of popular products Maker's Mark bourbon, Jim Beam bourbon and Laphroaig scotch whiskey, has seen its share price soar over the previous months, and the stock set its five year high in October 2013. Beam's stock value has grown by approximately 10% since the end of August and shows no sign of stopping. Thus, the acquisition price of $83.50 per share may significantly undervalue the Company. Notably, Suntory is a closely held Japanese corporation, meaning that Beam's shareholders will be left without an option to invest in the acquirer and thus participate in the expected future growth of the Company.
Block & Leviton's investigation seeks to determine, among other things, whether Beam's Directors breached their fiduciary duties by failing to maximize shareholder value in the proposed acquisition by Suntory and the fairness by which the Beam's Directors considered and approved the transaction.
If you are a Beam shareholder and have questions about your legal rights, or if you have information relevant to this investigation, please contact attorney Steven P. Harte, at (617) 398-5600 or email him at Steven@blockesq.com.
Block & Leviton is a Boston-based law firm representing investors nationwide for violations of securities laws. The firm's lawyers have collectively been prosecuting securities cases on behalf of investors for over 50 years. This notice may constitute attorney advertising.
BLOCK & LEVITON LLP
Steven P. Harte, Esq.
SOURCE Block & Leviton LLP