PRLog - April 25, 2011 - SAN DIEGO -- An investor in Inspire Pharmaceuticals, Inc. (NASDAQ:ISPH)
If you purchased Inspire Pharmaceuticals, Inc. (NASDAQ:ISPH)
According to the complaint the plaintiff alleges that the defendants breached their fiduciary duties in connection the proposed takeover.
On Tuesday, April 5, 201, Inspire Pharmaceuticals, Inc. (NASDAQ: ISPH) and Merck (NYSE:MRK) announced that they have entered into an agreement under which Merck will acquire Inspire Pharmaceuticals, Inc in a transaction that has a total cash value of approximately $430 million. Under the terms of the proposed takeover, Merck, through a subsidiary, will commence a tender offer for all outstanding common stock of Inspire Pharmaceuticals, Inc at a price of $5.00 per ISPH share in cash. Inspire Pharmaceuticals, Inc.said the offer represents a 26% premium to the closing price of Inspire Pharmaceuticals' common stock on April 4, 2011.
In response to the takeover announcement ISPH shares increased from slightly under $4 on April 4, 2011 to $4.97 on April 5.
However the plaintiff alleges the offer undervalues the company. In fact, shares of Inspire Pharmaceuticals, Inc. traded as high as $8.08 per share in December 2010. In addition, at least on analyst has set a target price of $10.00 per share for Inspire Pharmaceuticals stock. Furthermore Inspire Pharmaceuticals financially performed well for its investors. Inspire Pharmaceuticals’
Those who purchased Inspire Pharmaceuticals, Inc. (Public, NASDAQ:ISPH)
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