SAN DIEGO and NEW YORK, June 22, 2015 /PRNewswire/ -- Shareholder rights attorneys at Robbins Arroyo LLP are investigating the proposed acquisition of Martha Stewart Living Omnimedia, Inc. (NYSE: MSO) by Sequential Brands Group, Inc. (NASDAQ: SQBG). On June 22, 2015, the two companies announced the signing of a definitive merger agreement pursuant to which Sequential Brands will acquire Martha Stewart. Under the terms of the agreement, Martha Stewart shareholders will receive consideration equivalent to $6.15 for each share of Martha Stewart common stock owned.
View this information on the law firm's Shareholder Rights Blog: www.robbinsarroyo.com/shareholders-rights-blog/martha-stewart-living-omnimedia-inc
Is the Proposed Acquisition Best for Martha Stewart and Its Shareholders?
Robbins Arroyo LLP's investigation focuses on whether the board of directors at Martha Stewart is undertaking a fair process to obtain maximum value and adequately compensate its shareholders.
As an initial matter, the $6.15 merger consideration represents a premium of only 16.48% based on Martha Stewart's closing price on May 19, 2015. This premium is significantly below the average one-month premium of nearly 21.65% for comparable transactions within the past five years. Further, the $6.15 merger consideration is significantly below the target price of $7.18 set by an analyst at FBN Securities on March 6, 2015, and the target price of $7.00 set by an analyst at Noble Financial Group on October 16, 2014. In the last three years, Martha Stewart traded as high as $6.72 on March 31, 2015, and most recently traded above the target price – at $6.16 – on April 15, 2015.
Martha Stewart shareholders have the option to file a class action lawsuit to ensure the board of directors obtains the best possible price for shareholders and the disclosure of material information. Martha Stewart shareholders interested in information about their rights and potential remedies can contact attorney Darnell R. Donahue at (800) 350-6003, ddonahue@robbinsarroyo.com, or via the shareholder information form on the firm's website.
Robbins Arroyo LLP is a nationally recognized leader in securities litigation and shareholder rights law. The law firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested.
Attorney Advertising. Past results do not guarantee a similar outcome.
Contact:
Darnell R. Donahue
Robbins Arroyo LLP
600 B Street, Suite 1900
San Diego, CA 92101
ddonahue@robbinsarroyo.com
(619) 525-3990 or Toll Free (800) 350-6003
www.robbinsarroyo.com
Logo - http://photos.prnewswire.com/prnh/20130103/MM36754LOGO
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/robbins-arroyo-llp-acquisition-of-martha-stewart-living-omnimedia-inc-mso-by-sequential-brands-group-inc-sqbg-may-not-be-in-shareholders-best-interests-300102824.html
SOURCE Robbins Arroyo LLP