NEW YORK, Feb. 5, 2016 /PRNewswire/ -- Milberg LLP is investigating possible breaches of fiduciary duty and other violations of law by the Board of Directors of LeapFrog Enterprises Inc. ("LeapFrog") (NYSE: LF) in connection with the proposed acquisition of LeapFrog by Hong-Kong-based VTech Holdings Limited ("VTech").
On February 5, 2016, LeapFrog announced that it had entered into an agreement and plan of merger to be acquired by VTech through an all cash tender offer that is expected to commence on or about March 3, 2016. Under the terms of the proposed transaction, LeapFrog's stockholders will receive only $1.00 in cash for each share of LeapFrog stock owned. However, the proposed offer price falls well below the $3.50 per share high price target set by analysts and below the 52-week trading high of LeapFrog stock of $2.68 per share. LeapFrog common stock has traded at above the proposed offer price as recently as October 19, 2015, when it reached $1.06 per share.
Milberg LLP's investigation focuses on the potential unfairness of the consideration being provided to LeapFrog's stockholders and the process by which LeapFrog's Board of Directors considered and approved the proposed deal.
Concerned investors are invited to contact the Milberg attorneys listed below to discuss the investigation, their rights, or potential remedies.
Founded in 1965, Milberg LLP was one of the first law firms to prosecute class actions in federal courts on behalf of investors and consumers and has been representing investors and consumers for more than four decades. Milberg LLP is widely recognized as a leader in defending the rights of victims of corporate and other large-scale wrongdoing, serving as lead counsel in federal and state courts throughout the United States. For more information, please visit the firm website at www.milberg.com.
Contacts
Milberg LLP
Kent A. Bronson
kbronson@milberg.com
Todd Kammerman
tkammerman@milberg.com
(212) 594-5300
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/milberg-llp-announces-investigation-of-proposed-sale-of-leapfrog-enterprises-inc-300216074.html
SOURCE Milberg LLP
