OKLAHOMA CITY--(BUSINESS WIRE)--The law firm of Federman & Sherwood has initiated an investigation into Calgary-based Compton Petroleum Corporation (TSX:CMT) (“Compton”) with respect to possible breaches of fiduciary duty by the company’s officers and directors, as well as violations of state law, in connection with the take-over bid offer by MFC Industrial Ltd. (NYSE: MIL) (“MFC”).
On July 9, 2012, Compton announced that it had agreed to be acquired by MFC, whereby MFC would acquire all outstanding shares of Compton common stock in a cash offer of approximately $1.25 per Compton share which, from all outward appearances, undervalues the company significantly since shares of Compton were trading at almost $4.00 per share as recently as April, 2012.
Federman & Sherwood is investigating whether: (1) the information being provided to Compton shareholders makes all necessary disclosures with respect to the proposed sales transaction; (2) whether the proposed sale to MFC offers adequate long-term value to Compton shareholders; and, (3) whether Compton could have received a higher per share price for its shareholders had the officers and directors aggressively sought other purchasers for the company.
If you currently own common stock in Compton Petroleum Corporation and purchased your shares before July 9, 2012; have information to assist in our investigation of this transaction; or, have any questions or concerns regarding this notice or preservation of your rights, please contact William B. Federman. Federman & Sherwood has extensive nationwide experience in representing investors in securities, derivative and merger-related shareholder class actions, and has been appointed as lead counsel in multiple complex cases.