SAN DIEGO, June 10, 2013 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that an investor who holds Lender Processing Services, Inc. (LPS) shares filed a lawsuit to stop the proposed takeover of Lender Processing Services, Inc. by Fidelity National Financial, Inc. for $33.25 per LPS share.
Investors who purchased shares of Lender Processing Services, Inc. (LPS) prior to May 28, 2013 and currently hold any of those LPS shares, have certain options and should contact the Shareholders Foundation, Inc. at mail@shareholdersfoundation.com or call +1 (858) 779 - 1554.
On May 28, 2013, Fidelity National Financial, Inc. and Lender Processing Services, Inc. announced the signing of an agreement under which Fidelity National Financial will acquire all of the outstanding common stock of Lender Processing Services for $33.25 per common share. Under the terms of the agreement, Fidelity National Financial will pay 50% of the consideration for the Lender Processing Services shares of common stock in cash and 50% in shares of Fidelity National Financial common stock, subject to adjustment.
However, the plaintiff alleges that the defendants breached their fiduciary duties owed to LPS stockholders by agreeing to sell the company too cheaply via an unfair process.
The plaintiff claims that the $33.25-offer is too low and undervalues the company. Indeed, following the takeover news LPS shares reached $24.06 on May 28, 2013. In addition, at least one analyst has set the high target price for LPS shares at $36.00 per share. Furthermore, Lender Processing Services' performance improved lately. For instance, it reported that its annual Total Revenue rose from over $1.98 billion in 2011 to over $1.99 billion in 2012. In addition, shares of Lender Processing Services, Inc. (LPS) grew from $13.69 per share in Sept. 2011 to $29.64 per share in October 2012.
Those who currently are investors in Lender Processing Services, Inc. (LPS) shares and purchased LPS shares before the announcement have certain options and should contact the Shareholders Foundation.
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.