BALA CYNWYD, Pa., May 28, 2009 (GLOBE NEWSWIRE) -- Law office of Brodsky & Smith, LLC announces that it is investigating potential claims against the Board of Directors of FiberNet Telecom Group Inc. ("FiberNet" or the "Company") (Nasdaq:FTGX) relating to the proposed acquisition by Zayo Group, LLC. Zayo Group has agreed to acquire FiberNet in an all-cash deal valued at approximately $87.8 million.
Under the proposed agreement, FiberNet shareholders will receive $11.45 for every share of FiberNet common stock they own. The investigation concerns possible breaches of fiduciary duty and other violations of state law related to the FiberNet board's approval of the proposed merger. The transaction appears to be unfair, in part, given that FiberNet stock was trading at $11.54 a share as recently as September 23, 2008 and $11.43 on April 6, 2009. The merger agreement also only gives the FiberNet board until June 17, 2009 to solicit superior proposals from third parties, FiberNet has indicated that it does not intend to disclose developments with respect to the solicitation process unless and until its board has made a decision to accept a superior proposal.
If you own shares of FiberNet and wish to discuss the legal ramifications of the proposed acquisition by Zayo Group, or have any questions, you may e-mail or call the law office of Brodsky & Smith, LLC who will, without obligation or cost to you, attempt to answer your questions. You may contact Jason L. Brodsky, Esquire or Evan J. Smith, Esquire at Brodsky & Smith, LLC, Two Bala Plaza, Suite 602, Bala Cynwyd, PA 19004, by e-mail at clients@brodsky-smith.com, or by calling toll free 877-LEGAL-90.