MILWAUKEE, June 24, 2013 (GLOBE NEWSWIRE) -- We are investigating the Board of Directors of sTec, Inc. for possible breaches of fiduciary duty and other violations of state law in connection with the sale of sTec to Western Digital.
Click here to learn how to join the action: http://www.ademilaw.com/case/stec-inc or call Guri Ademi toll-free at 866-264-3995. There is no cost or obligation to you.
sTec's long-term financial outlook is very positive and yet sTec shareholders will receive only $6.85 for their shares. Western Digital is well aware of sTec's improving financial metrics and is purchasing sTec at a substantial discount. The merger agreement unreasonably limits prospective bids for sTec by (i) prohibiting solicitation of any further bids, and (ii) imposing a termination penalty should sTec receive and accept a superior bid. sTec insiders, their affiliates and other majority shareholders own significant voting units of sTec, and will receive millions of dollars as part of change of control arrangements, and therefore can unduly influence a sale of sTec not necessarily in the best interests of non-insider shareholders. In light of these facts, our investigation centers on the conduct of sTec's Board of Directors, who have unanimously approved the transaction, and whether they are (i) fulfilling their fiduciary duties to all shareholders, and (ii) obtaining a fair and reasonable price for sTec given its current financial condition and prospects.
If you own shares of sTec and wish to obtain additional information, please contact Guri Ademi either at gademi@ademilaw.com or toll-free: 866-264-3995, http://www.ademilaw.com/case/stec-inc.
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