NEW YORK, April 12, 2016 /PRNewswire/ -- WeissLaw LLP is investigating possible breaches of fiduciary duty and other violations of law by the Board of Directors of Ruckus Wireless Inc. ("RKUS" or the "Company") in connection with the proposed acquisition of the Company by Brocade Communications Systems, Inc. ("Brocade"). On April 4, 2016, the Company announced it had reached a definitive agreement for Brocade to acquire all outstanding shares of RKUS in a transaction valued at approximately $1.5 billion. Under the terms of the agreement, RKUS shareholders will receive $6.45 in cash and 0.75 of a share of Brocade for each RKUS shares they own, representing a per share value of $13.34 based on Brocade's April 4 closing price.
WeissLaw is investigating whether RKUS's Board acted to maximize shareholder value prior to entering into the agreement. Notably, at least one analyst set a target price of $15.00, or $1.66 above the offer price. Further, the Company recently announced positive financial results. It reported revenue of $373.4 million in fiscal year 2015, representing a 14.2% increase year-over-year.
Given these facts, WeissLaw is investigating whether RKUS's Board acted in the best interests of RKUS's public shareholders to maximize shareholder value prior to entering into the agreement with Brocade. If you own RKUS shares and would like more information about your rights or our investigation, or if you have information to share with us, please contact Joshua Rubin by telephone at (888) 593-4771 or by email at stockinfo@weisslawllp.com.
WeissLaw LLP has litigated hundreds of stockholder class and derivative actions for violations of corporate and fiduciary duties. We have recovered over a billion dollars for defrauded clients and obtained important corporate governance relief in many of these cases. If you have information or would like legal advice concerning possible corporate wrongdoing (including insider trading, waste of corporate assets, accounting fraud, or materially misleading information), consumer fraud (including false advertising, defective products, or other deceptive business practices), or anti-trust violations, please email us at stockinfo@weisslawllp.com or fill out the form on our website, http://www.weisslawllp.com/contact/report_fraud/.
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SOURCE WeissLaw LLP
