PRLog - Dec. 10, 2012 - SAN DIEGO -- An investigation on behalf of investors in MIPS Technologies, Inc. (NASDAQ:MIPS)
Investors who purchased shares of MIPS Technologies, Inc. (NASDAQ:MIPS)
The investigation by a law firm concerns whether certain officers and directors of MIPS Technologies, Inc. breached their fiduciary duties owed NASDAQ:MIPS investors in connection with the proposed acquisition.
November 5, 2012 - MIPS Technologies, Inc. (Nasdaq: MIPS) announced it has entered into separate definitive agreements with Bridge Crossing LLC ("Bridge Crossing"), an acquisition vehicle of Allied Security Trust ("AST"), and Imagination Technologies Group plc (LSE: IMG) ("Imagination")
MIPS Technologies, Inc. said the total value of the transaction represents a 40% premium to the closing price on April 11, 2012, the day prior to the first public rumor of a potential sale of MIPS.
However, NASDAQ:MIPS shares traded as high as $7.52 per share on October 16, 2012 and as high as $17.25 during early 2011, thus both well above the current value.
Furthermore, at least one analyst has set the high target price at $10.00 for NASDAQ:MIPS shares.
Therefore the investigation a law firm concerns whether the proposed transaction is unfair to NASDAQ:MIPS stockholders. Specifically, the investigation focuses on whether the MIPS Technologies Board of Directors undertook an adequate sales process, adequately shopped the assets before entering into the transaction, maximized shareholder value by negotiating the best price, and acted in the shareholders' best interests in connection with the proposed sale.
Those who are current investors in MIPS Technologies, Inc. (NASDAQ:MIPS)