SAN DIEGO--(BUSINESS WIRE)--Shareholder rights law firm Johnson & Weaver, LLP has launched an investigation into whether the board members of Penford Corporation (NASDAQ: PENX) breached their fiduciary duties in connection with the proposed sale of the Company to Ingredion Incorporated.
Penford develops, manufactures, and markets specialty natural-based ingredient systems for food and industrial applications primarily in the United States. The company was founded in 1894 and is headquartered in Centennial, Colorado.
On October 15, 2014, Penford announced it had signed a definitive merger agreement with Ingredion. Under the terms of the transaction, Penford shareholders will receive $19.00 per share in cash, or approximately $340 million in the aggregate.
The investigation concerns whether Penford’s board failed to satisfy their duties to the Company’s shareholders, including whether the board adequately pursued alternatives to the acquisition and whether the board obtained the best price possible for the Company’s shares of common stock. Nationally recognized Johnson & Weaver, which focuses its practice on shareholder rights, is investigating whether the proposed deal price represents adequate consideration, especially given the Company’s recent success and promise of future growth. Moreover, Ingredion expects the deal to be accretive to earnings by the end of the first year.
If you are a shareholder of Penford and believe the proposed buyout price is too low or you’re interested in learning more about the investigation or your legal rights and remedies, please contact lead analyst Jim Baker (firstname.lastname@example.org) at 619-814-4471.
About Johnson & Weaver, LLP:
Johnson & Weaver, LLP is a nationally recognized shareholder rights law firm with offices in California, New York and Georgia. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits. For more information about the firm and its attorneys, please visit http://www.johnsonandweaver.com. Attorney advertising. Past results do not guarantee future outcomes.