SAN DIEGO, Oct. 30, 2017 /PRNewswire/ -- Shareholder rights
law firm Johnson Fistel, LLP has launched an investigation into
whether the board members of CalAtlantic Group, Inc. (NYSE: CAA)
("CalAtlantic") breached their fiduciary duties in connection with
the proposed sale of the Company to Lennar Corporation (NYSE: LEN
and LEN.B). CalAtlantic builds single-family attached and detached
homes in the United States.
On October 30, 2017, CalAtlantic
announced that it had signed a definitive merger agreement with
Lennar. Under the terms of the deal, CalAtlantic stock will be
exchanged for 0.885 shares of Lennar Class A common stock. Based on
the closing price of Lennar's Class A common stock on October 27, 2017, the implied value of the stock
consideration is $51.34 per share.
However, shareholders will be subject to the future price
fluctuation of Lennar's stock price. CalAtlantic's shareholders
will also have the option to elect to exchange all or a portion of
their shares for $48.26 cash per
share, subject to a maximum cash amount of approximately
$1.2 billion.
The investigation concerns whether the CalAtlantic 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 CalAtlantic shares of common stock. Nationally recognized
Johnson Fistel is investigating
whether the proposed deal price represents adequate consideration,
especially given analysts outlook for future earnings
growth.
If you are a shareholder of CalAtlantic 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 (jimb@johnsonfistel.com) at 619-814-4471. If
emailing, please include a phone number.
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
http://www.johnsonfistel.com. Attorney advertising. Past results do
not guarantee future outcomes.
Contact:
Johnson Fistel, LLP
Jim Baker, 619-814-4471
jimb@johnsonfistel.com
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SOURCE Johnson Fistel, LLP