BALA CYNWYD, Pa., May 19, 2016 /PRNewswire/ -- Law office of Brodsky & Smith, LLC announces that it is investigating potential claims against the Board of Directors of Morgans Hotel Group Co., Inc. ("Morgans Hotel" or "the Company") (Nasdaq- MHGC-News) for possible breaches of fiduciary duty and other violations of state law in connection with the sale of the Company to SBE.
Click here to learn more about the investigation http://brodsky-smith.com/1074-mhgc-morgans-hotel-group.html, or call: 877-534-2590. There is no cost or obligation to you.
Under the terms of the transaction, Morgans Hotel shareholders will receive only $2.25 in cash for each share of Morgans Hotel stock they own. The investigation concerns whether the Board of Morgans Hotel breached their fiduciary duties to shareholders and whether SBE is underpaying for the Company. The transaction may undervalue the Company and would result in a substantial loss for many Morgans Hotel shareholders. For example, Morgans Hotel stock traded at $7.96 per share on February 18, 2015 and $3.90 on November 6, 2015.
If you own shares of Morgan Hotel stock and wish to discuss the legal ramifications of the investigation, 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 510, Bala Cynwyd, PA 19004, by visiting http://brodsky-smith.com/1074-mhgc-morgans-hotel-group.html, or calling toll free 877-LEGAL-90.
Brodsky & Smith, LLC is a litigation law firm with extensive expertise representing shareholders throughout the nation in securities and class action lawsuits. The attorneys at Brodsky & Smith have been appointed by numerous courts throughout the country to serve as lead counsel in class actions and have successfully recovered millions of dollars for our clients and shareholders. Attorney advertising. Prior results do not guarantee a similar outcome.
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SOURCE Brodsky & Smith, LLC