Newman Ferrara LLP Announces Investigation of Furiex Pharmaceuticals, Inc.
Newman Ferrara LLP is investigating potential claims against the board of directors of Furiex Pharmaceuticals, Inc. ("Furiex") (Nasdaq: FURX) concerning the proposed sale of Furiex to Forest Laboratories Inc. ("Forest") (NYSE: FRX).
Furiex has entered into an agreement and plan of merger to be acquired by Forest pursuant to which, Furiex shareholders will receive only $95.00 in cash for each share of Furiex stock owned. The proposed deal also includes a Contingent Value Right of up to $360 million that may be payable based on the status of eluxadoline, as a controlled drug following approval.
However, Furiex common stock has traded at above the $95.00 per share offer price as recently as March 26, 2014, when it traded at $98.23 per share. The offer price is also well below the 52-week trading high of Furiex common stock of $121.97 per share.
In addition, Forest has already entered into separate agreements with Royalty Pharma to sell Furiex's royalties on alogliptin and Priligy ® ® for approximately $415 million upon successful completion of Forest's acquisition of Furiex.
Newman Ferrara LLP's investigation concerns whether Furiex's Board of Directors has breached its fiduciary duties to act in the best interests of Furiex's shareholders and to take all necessary steps to ensure that Furiex's shareholders receive the maximum value readily available for their shares of Furiex common stock.
Concerned investors may contact Newman Ferrara attorney Roy Shimon at rshimon@nfllp.com to discuss this investigation, their rights, or potential remedies.
Newman Ferrara maintains a multifaceted practice based in New York City with attorneys specializing in complex commercial and multi-party litigation, securities fraud and shareholder litigation, consumer protection, civil rights, and real estate. For more information, please visit the firm website at www.nfllp.com.