NEW YORK--(BUSINESS WIRE)--
Newman Ferrara LLP has begun an investigation into potential claims
against the board of directors of Auxilium Pharmaceuticals, Inc.
(“Auxilium”) (NASDAQ:AUXL) concerning its proposed merger agreement with
QLT Inc. (NASDAQ:QLT).
On June 26, 2014, Auxilium announced that it had entered into an
agreement and plan of merger to be acquired by QLT under which Auxilium
stockholders will receive 3.1359 shares of QLT stock for each share of
Auxilium stock owned. Based on QLT’s closing stock price on June 26,
2014, the proposed merger would provide implied value to Auxilium
stockholders of only $19.41 per share of Auxilium stock owned. However,
Auxilium stock was trading at above that implied offer price on June 25,
2014, the day before the deal was announced, when Auxilium stock closed
at $21.23 per share. That implied offer price is also far below the
52-week trading high of Auxilium common stock of $32.89 per share.
Newman Ferrara’s investigation concerns whether Auxilium’s Board of
Directors has breached its fiduciary duties to act in the best interests
of Auxilium’s stockholders. The investigation focuses on the potential
unfairness of the consideration being provided to Auxilium’s
stockholders and the process by which Auxilium’s Board of Directors
considered and approved the proposed deal.
Concerned investors may contact Newman Ferrara attorney Roy Shimon at email@example.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.
Newman Ferrara LLP
Roy Shimon, 212-619-5400
Source: Newman Ferrara LLP