BALA CYNWYD, Pa., April 18, 2012 /PRNewswire/ -- Law office of Brodsky & Smith, LLC announces that it is investigating potential claims against the Board of Directors of SRS Labs, Inc. ("SRS" or the "Company") (Nasdaq: SRSL) relating to the proposed acquisition by DTS, Inc. ("DTS") (Nasdaq: DTSI).
Under the terms of the transaction, SRS shareholders would receive only $9.50 in cash or a fixed ration of 0.31127 shares of DTS common stock for each share of SRS stock they own. The investigation concerns possible breaches of fiduciary duty and other violations of state law by the Board of Directors of SRS for not acting in the Company's shareholders' best interests in connection with the sale process to DTS. The transaction may undervalue SRS as SRS stock traded at $10.98 per share on January 14, 2011 and traded at $9.86 a share as recently as July 11, 2011. In addition, an analyst has placed a $10.00 price target on the stock.
The firm is also investigating if employment guarantees played a role in the decision to enter into the transaction. According to the terms of the deal, the Chairman and CEO of SRS will receive a new position on the board of DTS upon completion of the transaction.
If you own shares of SRS stock and wish to discuss the legal ramifications of the proposed transaction, or have any questions, you may e-mail or call the law office of Brodsky & Smith, LLC who will, without obligation or cost to you, attempt to answer your questions. You may contact Jason L. Brodsky, Esquire or Evan J. Smith, Esquire at Brodsky & Smith, LLC, Two Bala Plaza, Suite 602, Bala Cynwyd, PA 19004, by e-mail at [email protected] visiting http://brodsky-smith.com/411-srsl-srs-labs-inc.html, or by calling toll free 877-LEGAL-90.
SOURCE Brodsky & Smith, LLC