DALLAS, June 30, 2011 (GLOBE NEWSWIRE) -- The Briscoe Law Firm, PLLC, founded by a former state prosecutor and enforcement attorney for the United States Securities and Exchange Commission, and the securities litigation law firm of Powers Taylor, LLP are investigating potential legal claims against the Board of Directors of Sterling Chemical, Inc. ("Sterling Chemical" or "SCHI") related to the sale of Sterling Chemical to Eastman Chemical Company.
The definitive merger agreement, which was announced on June 22, 2011, involves a transaction valued at approximately $100 million. Under the proposed buyout, Sterling Chemical shareholders will receive $2.50 in cash for each share of Sterling Chemical/SCHI common stock they hold. The transaction is expected to close in the third quarter of 2011.
The firms are investigating the fairness of the proposed transaction to Sterling Chemical shareholders, whether the shareholders are being underpaid for their stock, and whether Sterling Chemical's Board of Directors acted in the shareholders' best interests. In particular, although the deal price represents a premium over Sterling Chemical's closing price the day before the acquisition announcement, as recently as April 1, 2011 Sterling Chemical shares closed at $3.50 per share. In addition, Sterling Chemical recently reported a book value of $3.59 per share. Based on this and other factors, the firms do not believe that the acquisition price is fair to Sterling Chemical shareholders.
If you currently own shares of Sterling Chemical/SCHI and would like additional information regarding this investigation, or if you have information regarding the allegations involved in this transaction, please contact Patrick Powers at Powers Taylor, LLP, toll free (877) 728-9607, via e-mail at patrick@powerstaylor.com, or Willie Briscoe at The Briscoe Law Firm, PLLC toll free (877) 397-5991, or via email at WBriscoe@TheBriscoeLawFirm.com. There is no cost or fee to you.
The Briscoe Law Firm is a full service business litigation and shareholder rights advocacy firm with more than 20 years of experience in complex litigation matters.
Powers Taylor, LLP is a boutique litigation law firm that handles a variety of complex business litigation matters nationwide, including claims of investor and stockholder fraud, shareholder oppression, shareholder derivative suits, and security class actions.
The Powers Taylor, LLP logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=9935