NEW YORK, Nov. 28, 2017 /PRNewswire/ -- WeissLaw LLP
is investigating possible breaches of fiduciary duty and other
violations of law by the Board of Directors of Cavium Inc. ("CAVM"
or the "Company") (NASDAQ: CAVM) in connection with the proposed
acquisition of the Company by Marvell Technology Group Ltd.
("MRVL") (NASDAQ: MRVL). On November
20, 2017, the Company announced a definitive agreement for
MRVL to acquire all outstanding shares of CAVM in a cash-and-stock
deal. Under the terms of the agreement, the Company's
shareholders will receive $40.00 in
cash and 2.1757 shares of MRVL for each CAVM share they own,
representing consideration of $84.14
based on MRVL's November 17 closing
price.
WeissLaw is investigating whether CAVM's Board acted to maximize
shareholder value prior to entering into the agreement.
Notably, at least one analyst set a target price of $94.00 per share, or approximately $10.00 above the per-share consideration.
Moreover, according to the acquisition announcement, MRVL will
benefit greatly from this deal, namely:
- The diversification of its revenue base and end-markets;
- The expansion of its serviceable addressable market to more
than $16 billion; and
- The acceleration of its product development, which will better
enable MRVL to meet the growing demand for data storage.
Finally, upon completion of this transaction, which is expected
to propel MRVL as a leader in the infrastructure solution industry,
CAVM shareholders will own a meagre 25% of the combined
company.
Given these facts, WeissLaw is investigating whether CAVM's
Board acted in the best interests of CAVM's public shareholders to
maximize shareholder value prior to entering into the
agreement. If you own CAVM shares and would like more
information about your rights or our investigation, or if you have
information to share with us, please contact Joshua Rubin by telephone at
(888) 593-4771 or by email at
stockinfo@weisslawllp.com.
WeissLaw LLP has litigated hundreds of stockholder class and
derivative actions for violations of corporate and fiduciary
duties. We have recovered over a billion dollars for
defrauded clients and obtained important corporate governance
relief in many of these cases. If you have information or
would like legal advice concerning possible corporate wrongdoing
(including insider trading, waste of corporate assets, accounting
fraud, or materially misleading information), consumer fraud
(including false advertising, defective products, or other
deceptive business practices), or anti-trust violations, please
email us at stockinfo@weisslawllp.com or fill out the form
on our website,
http://www.weisslawllp.com/cavium-inc/
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SOURCE WeissLaw LLP