SAN DIEGO, Nov. 20, 2017 /PRNewswire/ -- Shareholder rights
law firm Johnson Fistel, LLP has launched an investigation into
whether the board members of Cavium, Inc. ("Cavium") (NASDAQ: CAVM)
breached their fiduciary duties in connection with the proposed
sale of the Company to Marvell Technology Group Ltd. ("Marvell")
(NASDAQ: MRVL). Cavium designs, develops, and markets semiconductor
processors for intelligent and secure networks in the United States and internationally.
On November 20, 2017, Cavium
announced that it had signed a definitive merger agreement with
Marvell. Under terms of the deal, Marvell will exchange
$40 in cash and 2.1757 shares of its
stock for each Cavium share outstanding, which based on
Nov. 3 "undisturbed" prices equates
to about $80 a share. However,
shareholders will be subject to the future price fluctuation of
Marvell 's stock price.
The investigation concerns whether the Cavium 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 Cavium
shares of common stock. Nationally recognized Johnson Fistel is investigating whether the
proposed deal represents adequate consideration, especially given
the Company's outlook for future revenue and earnings growth, and
one Wall Street analyst has a $90.00
price target on the stock.
If you are a shareholder of Cavium 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
View original
content:http://www.prnewswire.com/news-releases/cavium-cavm-alert-johnson-fistel-investigates-proposed-sale-of-cavium-inc-are-shareholders-getting-a-fair-deal-300559334.html
SOURCE Johnson Fistel, LLP