SAN DIEGO and NAPERVILLE,
Ill., Feb. 22, 2013 /PRNewswire/
-- Shareholder rights attorneys at Robbins Arroyo LLP are
investigating the acquisition of OfficeMax Incorporated (NYSE: OMX)
by Office Depot, Inc. (NYSE: ODP). OfficeMax, together with
its subsidiaries, distributes business-to-business and retail
office products.
(Logo:
http://photos.prnewswire.com/prnh/20130103/MM36754LOGO)
On February 20, 2013, OfficeMax
and Office Depot announced a definitive merger agreement whereby
the companies will combine in an all-stock merger. OfficeMax
shareholders will receive 2.69 Office Depot common shares for each
share of OfficeMax common stock, an implied cash value of
$13.50. The transaction has
been unanimously approved by the board of directors at both
companies and is expected to close by the end of 2013.
The Board of Directors' Actions May Prevent OfficeMax
Shareholders from Receiving the Maximum Value for Their
Stock
Robbins Arroyo LLP's investigation focuses on whether the board
of directors at OfficeMax is undertaking a fair process to obtain
maximum value and adequately compensate its shareholders in light
of the proposed acquisition. The merger consideration is below the
$15.00 target price of Sidoti and Co.
and the $17.00 target price of B.
Riley and Co.
Further, on February 20, 2013,
OfficeMax reported financial results for the fourth quarter and
full year 2012. Specifically, during the full year 2012,
OfficeMax generated $185.2 million in
cash flow from operations compared to $53.7
million in the full year 2011. Moreover, OfficeMax's retail
segment experienced an increase in gross profit margins to 28.2% in
the fourth quarter of 2012 from 26.9% on the fourth quarter of
2011. Bruce Besanko, Executive
Vice President, Chief Financial Officer, and Chief Administrative
Officer of OfficeMax stated, "Our continued strong financial
position enables us to invest in our strategic objectives, which we
believe will create long-term value for shareholders."
Given these facts, the firm is examining the board of directors'
decision to sell OfficeMax now rather than allow shareholders to
continue to participate in the company's continued success and
future growth prospects.
OfficeMax shareholders have the option to file a class action
lawsuit against the company to secure the best possible price for
shareholders and the disclosure of material information so
shareholders can vote on the transaction in an informed manner.
OfficeMax shareholders interested in information about their
rights and potential remedies can contact Darnell R. Donahue at (800) 350-6003,
ddonahue@robbinsarroyo.com, or via the shareholder information form
on the firm's website.
Robbins Arroyo LLP is a nationally recognized leader in
securities litigation and shareholder rights law. The firm
represents individual and institutional investors in shareholder
derivative and securities class action lawsuits, and has helped its
clients realize more than $1 billion
of value for themselves and the companies in which they have
invested. For more information, please go to
http://www.robbinsarroyo.com.
Press release link:
http://www.robbinsarroyo.com/shareholders-rights-blog/officemax-incorporated/
Attorney Advertising.Past results do not guarantee a similar
outcome.
Contact:
Darnell R. Donahue
Robbins Arroyo LLP
ddonahue@robbinsarroyo.com
(619) 525-3990 or Toll Free (800) 350-6003
www.robbinsarroyo.com
SOURCE Robbins Arroyo LLP