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BioMimetic Therapeutics, Inc. Investor Alert: Investigation of Takeover
An investigation on behalf of investors of BioMimetic Therapeutics, Inc. in connection with the proposed takeover was announced and NASDAQ-BMTI stockholders should contact the Shareholders Foundation.
Investors who purchased shares of BioMimetic Therapeutics, Inc. prior to November 19, 2012, and currently hold any of those NASDAQ-BMTI shares have certain options and should contact the Shareholders Foundation at email@example.com or call +1(858) 779 - 1554.
The investigation by a law firm concerns whether certain officers and directors of BioMimetic Therapeutics, Inc. breached their fiduciary duties owed NASDAQ-BMTI investors in connection with the proposed acquisition.
On November 19, 2012, the Wright Medical Group, Inc. and BioMimetic Therapeutics, Inc. announced that they have entered into an agreement for a business combination of Wright Medical Group and BioMimetic Therapeutics. Under the terms of the agreement, the transaction has a total potential value for BioMimetic shareholders of approximately $380 million, or $12.97 per share, based on Wright’s closing stock price on Friday, November 16, 2012. Each share of BioMimetic common stock will be converted into the right to receive an upfront payment of $1.50 in cash and 0.2482 shares of Wright common stock. The upfront payment values BioMimetic at approximately $190 million, or $6.47 per share, based on Wright’s closing stock price on November 16, 2012. Each BioMimetic share will also receive one tradable Contingent Value Right (CVR), which entitles its holder to receive additional cash payments of up to $6.50 per share, which are payable upon receipt of FDA approval of Augment® Bone Graft and upon achieving certain revenue milestones.
The CVR payments to BioMimetic shareholders are structured as follows:
• $3.50 per share upon FDA approval of Augment® Bone Graft;
• $1.50 per share upon the achievement of $40 million in trailing twelve month sales for all products contributed by BioMimetic;
• $1.50 per share upon the achievement of $70 million in trailing twelve month sales for all products contributed by BioMimetic.
However, given that shares of BioMimetic Therapeutics, Inc. traded as high as $14.07 per share in April 2011 and at least one analyst has set the high target price of NASDAQ-BMTI shares at $7.50 per share and a payment value for NASDAQ-BMTI shares at $6.47 per share, the investigation a law firm concerns whether the proposed transaction is unfair to NASDAQ-BMTI stockholders. Specifically, the investigation focuses on whether the BioMimetic Therapeutics Board of Directors undertook an adequate sales process, adequately shopped the company 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 BioMimetic Therapeutics, Inc. , have certain options and should contact the Shareholders Foundation at firstname.lastname@example.org or call +1(858) 779 - 1554.