BOULDER, Colo., Sept. 19, 2008 (GLOBE NEWSWIRE) -- Advertising Material -- The Shuman Law Firm today announced that it is investigating the proposed acquisition of Datascope Corp. ("Datascope" or the "Company") (Nasdaq:DSCP).
On Sept. 16, 2008, Datascope announced their intent to sell the Company to Getinge AB, a medical technology company. Under the terms of the merger agreement, Datascope shareholders would receive $53 in cash for every Datascope share they tender, for a total sale price of approximately $865 million in cash. The proposed acquisition is subject to customary conditions and regulatory approvals.
As one analyst noted, the business is a "cash cow" with a 4.0% to 5.0% growth rate. The Company's book value of $25.59 per share includes over $15.80 per share in cash. In addition, Datascope carries no debt. Removing these figures from the equation, Getinge AB is only paying approximately $615 million for the Company. Moreover, the proposed $53 merger price offers shareholders essentially no premium over the Company's September 3, 2008 stock price of $52.95. Furthermore, the sales process the Company conducted was flawed given that, in contravention of their fiduciary duties to maximize shareholder value, the Company's Board agreed to a "no-shop" provision and a $30 million termination fee which will ensure no superior offer will be forthcoming. These provisions, taken together with other provisions in the merger agreement, may result in damage to Datascope shareholders by impeding the maximization of shareholder value.
If you currently own Datascope common stock and would like a free consultation concerning your rights and interests, please contact Kip Shuman, Esq. or Rusty Glenn, Esq. toll-free at 866-974-8626 or email Mr. Shuman at kip@shumanlawfirm.com or Mr. Glenn at rusty@shumanlawfirm.com.
The Shuman Law Firm represents investors throughout the nation, concentrating its practice in securities class actions and shareholder derivative litigation.
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