NEW YORK, July 23, 2009 (GLOBE NEWSWIRE) -- Sarraf Gentile LLP announces that the proposed acquisition of Bankrate, Inc. ("Bankrate") (Nasdaq:RATE) by Apax Partners is being investigated for possible breaches of fiduciary duty by the Bankrate board of directors. The deal, which was announced on July 22, 2009, is valued at approximately $571 million.
According to a statement released by Bankrate on July 22, 2009, "Apax will commence a tender offer to acquire all of the outstanding common stock of Bankrate, for $28.50 per share in cash, followed by a merger to acquire all remaining outstanding Bankrate shares at the same price paid in the tender offer." According to Bankrate, the "offer price represents a premium of 15.8% over yesterday's closing stock price and 18.2% over the average closing price for the previous ten trading days." But according to at least one investigation, the "transaction appears to be unfair" to current Bankrate shareholders. According to an investigation announcement issued on July 22, 2009, the transaction appears to be unfair, in part, because "Bankrate stock was trading at over $31.00 a share as recently as June 2009 and was trading at over $39.00 a share in January 2009."
If you are a Bankrate shareholder and want to discuss your legal rights, at no cost and without obligation, please contact Joseph Gentile at Sarraf Gentile LLP (telephone: 212-868-3610; e-mail: joseph@sarrafgentile.com).
Sarraf Gentile LLP has extensive experience litigating shareholder class actions across the United States and has recovered millions of dollars on behalf of injured shareholders.
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