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 Polonia Bancorp, Inc. (Nasdaq: PBCP) (“Polonia” or the “Company”) relating to the proposed buyout of Polonia by Prudential Bancorp, Inc.
Under the terms of the agreement, Polonia shareholders will be entitled to elect to receive either 0.7591 shares of Prudential common stock or $11.28 in cash for each share of Polonia common stock held, subject to proration and allocation to ensure that 50% of outstanding Polonia shares are exchanged for shares of Prudential common stock and 50% are exchanged for cash. The transaction may undervalue the Company and would result in no real gain or a loss for many long-term Polonia shareholders, especially given that the Company’s 52-week high was $15.99.
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 Polonia and believe that the proposed buyout price is too low, or you would like to learn more about the investigation being conducted by Brower Piven, 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 email@example.com 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.