SAN DIEGO and NEW YORK, Dec. 23, 2013 /PRNewswire/ -- Shareholder rights attorneys at Robbins Arroyo LLP are investigating the acquisition of The Jones Group Inc. (NYSE: JNY) by affiliates of the private equity firm Sycamore Partners.  On December 19, 2013, the two companies announced the signing of a definitive merger agreement pursuant to which Sycamore Partners will acquire all outstanding shares of The Jones Group common stock for $15.00 per share in cash. 

(Logo: http://photos.prnewswire.com/prnh/20130103/MM36754LOGO)

Is the Proposed Merger Best for The Jones Group and Its Shareholders?

Robbins Arroyo LLP's investigation focuses on whether the board of directors at The Jones Group is undertaking a fair process to obtain maximum value and adequately compensate The Jones Group shareholders in the merger.

As an initial matter, the $15.00 the merger consideration is substantially below the target price of $17.00 maintained by an analyst at Stephens Inc. since initiating coverage on July 23, 2013. In addition, The Jones Group traded over the offer price as recently November 7, 2013, and traded as high as $17.78 on August 5, 2013.   

In relation to the company's third quarter 2013 financial results released on October 30, 2013, Wesley R. Card, The Jones Group's Chief Executive Officer, commented, "We believe that we are well-positioned for the fourth quarter and early 2014 as we continue to execute on our strategic plan. We have received positive reactions from wholesale customers to our enhanced products across our brands that will ship in the fourth quarter of 2013 and Spring 2014.  We are confident that continued product improvement will translate into improved retail performance and, ultimately, increased profitability."

Given these facts, Robbins Arroyo LLP is examining The Jones Group board of directors' decision to sell the company to Sycamore Partners now rather than allow shareholders to continue to participate in the company's continued success and future growth prospects, and whether they are seeking to benefit themselves. 

The Jones Group shareholders have the option to file a class action lawsuit to ensure the board of directors properly evaluates the proposal to obtain the best possible price for shareholders and the disclosure of material information.  The Jones Group shareholders interested in information about their rights and potential remedies can contact attorney 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 law 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.   

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

Copyright 2013 PR Newswire

Jones Apparel (NYSE:JNY)
Historical Stock Chart
From Jun 2024 to Jul 2024 Click Here for more Jones Apparel Charts.
Jones Apparel (NYSE:JNY)
Historical Stock Chart
From Jul 2023 to Jul 2024 Click Here for more Jones Apparel Charts.