SAN DIEGO, Nov. 18, 2016 /PRNewswire/ -- Shareholder rights law firm Johnson & Weaver, LLP has launched an investigation into whether the board members of Synutra International, Inc. (NASDAQ: SYUT) breached their fiduciary duties in connection with the proposed sale of the Company to Beams Power Investment Limited. Synutra produces, distributes and sells dairy based nutritional products under the Shengyuan or Synutra brand names in the Peoples Republic of China.
On November 17, 2016, Synutra announced it had signed a definitive merger agreement with Beams. Under the terms of the agreement, Beams will acquire all of the outstanding shares of Synutra common stock for $6.05 per share in cash; except those shares held by the Company or Ms. Xiuqing Meng, the sole shareholder of Beams and spouse of Synutra's CEO Liang Zhang.
The investigation concerns whether the Synutra board failed to satisfy their 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 Synutra shares of common stock. Nationally recognized Johnson & Weaver is investigating whether the proposed deal price represents adequate consideration.
If you are a shareholder of Synutra and believe (1) the proposed buyout price is too low or (2) the merger benefits management more than the shareholders, and (3) you're interested in learning more about the investigation or your legal rights and remedies, please contact lead analyst Jim Baker ([email protected]) at 619-814-4471.
About Johnson & Weaver, LLP: Johnson & Weaver, 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 http://www.johnsonandweaver.com. Attorney advertising. Past results do not guarantee future outcomes.