SAN DIEGO, May 17, 2019 /PRNewswire/ -- Shareholder rights law firm Johnson Fistel, LLP has launched an investigation into whether the board members of Cray Inc. (NASDAQ: CRAY) breached their fiduciary duties in connection with the proposed sale of the Company to Hewlett Packard Enterprise (NYSE: HPE).
On May 17, 2019, Cray announced that it had signed a definitive merger agreement with Hewlett Packard. Under the terms of the merger agreement, Hewlett Packard will acquire all of the outstanding shares of Cray in an all-cash transaction. Cray shareholders will receive $35.00 per share in cash.
The investigation concerns whether the Cray board failed to satisfy its 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 Cray shares of common stock. Nationally recognized Johnson Fistel is investigating whether the proposed deal represents adequate consideration, especially given analysts' projections for future revenue growth. Additionally, Cray has over $200 million in cash and only $41 million in long-term debt.
If you are a shareholder of Cray 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.
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About Johnson Fistel, LLP:
Johnson Fistel, 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 https://www.johnsonfistel.com. Attorney advertising. Past results do not guarantee future outcomes.
Johnson Fistel, LLP
Jim Baker, 619-814-4471
SOURCE Johnson Fistel, LLP