STEVENSON, Md.--(BUSINESS WIRE)--The securities litigation law firm of Brower Piven, A Professional Corporation, has commenced an investigation into possible breaches of fiduciary duty and other violations of state law by the Board of Directors of Paramount Gold and Silver Corp. (“Paramount” or the “Company”) (NYSE: PZG) relating to the proposed buyout of the Company by Coeur Mining, Inc. (“Coeur”).
On December 17, 2014 Paramount and Coeur announced the signing of a merger agreement pursuant to which Coeur will acquire Paramount in an all-stock transaction valued at approximately $146 million. Under the terms of the transaction, Paramount stockholders are anticipated to receive 0.2016 Coeur shares for each share of Paramount common stock they own. In addition, prior to the merger close, Paramount will spin-off to its existing stockholders a separate publicly traded company (“SpinCo”), which is expected to apply for listing on the New York Stock Exchange or the Toronto Stock Exchange. Paramount stockholders will receive a pro rata share of the 95.1% of SpinCo shares to be distributed to Paramount stockholders. The transaction is expected to close in the second quarter of 2015, though Paramount shareholders will most likely be asked to vote on the transaction well before that time.
The firm’s investigation seeks to determine, among other things, whether the Company’s Board of Directors failed to satisfy their duties to 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.
If you currently own common stock of Paramount and would like to learn more about the investigation being conducted by Brower Piven, without cost or obligation to you, please visit our website at http://www.browerpiven.com/currentinvestigations.html. You may also request more information by contacting Brower Piven either by email at firstname.lastname@example.org or by telephone at (410) 415-6616.
Attorneys at Brower Piven have extensive experience in litigating securities and other class action cases and have been advocating for the rights of shareholders since the 1980s.