An investigation on behalf of investors of Paragon Commercial Corp (NASDAQ:PBNC) in connection with the proposed takeover was announced and NASDAQ:PBNC stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 05/11/2017 -- An investigation was announced for investors, who currently hold shares of Paragon Commercial Corp (NASDAQ:PBNC), was announced concerning whether the takeover of Paragon Commercial Corp. by TowneBank is unfair.
Investors who purchased shares of Paragon Commercial Corp (NASDAQ:PBNC) and currently hold any of those NASDAQ:PBNC shares have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call 858-779-1554.
The investigation by a law firm concerns whether certain officers and directors of Paragon Commercial Corp breached their fiduciary duties owed to NASDAQ:PBNC investors in connection with the proposed acquisition.
On April 27, 2017, TowneBank (NASDAQ:TOWN) and Paragon Commercial Corp, the parent company of Paragon Commercial Bank, announced the signing of a merger agreement pursuant to which TowneBank will acquire Paragon. Under the terms of the merger agreement, common shareholders of Paragon Commercial Corp (NASDAQ:PBNC) will receive a fixed exchange ratio of 1.7250 shares of TowneBank common stock for each outstanding share of Paragon Commercial Corp (NASDAQ:PBNC) common stock. This implies a deal value per share of $59.25 or approximately $323.7 million based on TowneBank's closing stock price of $34.35 on April 26, 2017.
However, the investigation concerns whether the offer is unfair to NASDAQ:PBNC stockholders. More specifically, the investigation concerns whether the Paragon Commercial Board of Directors undertook an adequate sales process, adequately shopped the company before entering into the transaction, maximized shareholder value by negotiating the best price, and acted in the shareholders' best interests in connection with the proposed sale.
Shares of Paragon Commercial Corp (NASDAQ:PBNC) closed on May 10, 2017 at $52.94 per share.
Those who are current investors in Paragon Commercial Corp shares have certain options and should contact the Shareholders Foundation.
Contact:
Shareholders Foundation, Inc.
Michael Daniels
3111 Camino Del Rio North - Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com