SAN DIEGO--(BUSINESS WIRE)--Shareholder rights law firm Johnson & Weaver, LLP has launched an investigation into whether the board members of Colonial Financial Services, Inc. (NASDAQ: COBK) breached their fiduciary duties in connection with the proposed sale of the Company to Cape Bancorp, Inc.
Colonial Financial Services provides various banking products and services. The company was founded in 1913 and is headquartered in Vineland, New Jersey.
On September 10, 2014, Colonial Financial announced it had signed a definitive agreement to be acquired by Cape Bancorp. Under the terms of the agreement, each shareholder of Colonial Financial, subject to potential adjustments at closing, will be entitled to elect to receive either $14.50 per share in cash or 1.412 shares of Cape Bancorp common stock, subject to 50% of the shares being exchanged for stock and 50% for cash.
The investigation will determine whether Colonial Financials’ Board of Directors breached their fiduciary duties to stockholders by failing to satisfactorily shop the Company before entering into this agreement and whether the proposed consideration adequately values the Company’s common stock. The $14.50 per share acquisition price is well below where the stock was trading in August 2013.
If you are a shareholder of Colonial Financials and believe (1) the proposed buyout price is too low or (2) you are interested in learning more about the investigation or your legal rights and remedies, please contact lead analyst Jim Baker (email@example.com) 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.