NEW YORK, May 26, 2016 /PRNewswire/ -- Milberg LLP is investigating possible breaches of fiduciary duty and other violations of law in connection with the proposed acquisition of Resource America, Inc. (NASDAQ: REXI) ("Resource America") by C-III Capital Partners LLC ("C-III").
On May 23, 2016, Resource America announced that it had entered into a definitive agreement to be acquired by C-III in a transaction valued at approximately $207 million. Under the terms of the agreement, shareholders of Resource America will receive $9.78 in cash for each share of Resource America. However, the $9.78 merger consideration is substantially below at least one analyst target price of $11.00 per share. In addition, Resource America has reportedly exhibited recent strong performance in numerous metrics relative to industry peers.
Milberg LLP's investigation is focusing on the potential unfairness of the consideration being provided to Resource America's stockholders and the process by which Resource America's Board of Directors considered and approved the proposed deal, particularly when C-III is reportedly retaining Resource America's leadership and management post-merger.
Concerned investors are invited to contact the Milberg attorneys listed below to discuss the investigation, their rights, and/or potential remedies.
Founded in 1965, Milberg LLP was one of the first law firms to prosecute class actions in federal courts on behalf of investors and consumers and has been representing investors and consumers for more than four decades, and has recovered billions of dollars on behalf of aggrieved stockholders and consumers in complex class and derivative litigation nationwide. Milberg LLP, with offices in Manhattan, Los Angeles and Detroit, is widely recognized as a leader in defending the rights of victims of corporate and other large-scale wrongdoing, serving as lead counsel in federal and state courts throughout the United States. For more information, please visit the firm website at www.milberg.com.
SOURCE Milberg LLP