Robbins Umeda LLP Is Investigating California Pizza Kitchen, Inc. Acquisition for Shareholders
Robbins Umeda LLP, a shareholder rights litigation firm, is interested in helping shareholders of California Pizza Kitchen, Inc. (NASDAQ: CPKI). The firm has commenced an investigation into possible breaches of fiduciary duty and other violations of state law by members of the board of directors of CPK in connection with their efforts to sell the company to Golden Gate Capital.
On May 25, 2011, CPK announced it has entered into a definitive agreement to be acquired by Golden Gate via a tender offer. Under the terms of the agreement, no later than June 8, 2011, Golden Gate will commence a tender offer to acquire all outstanding CPK shares for $18.50 per share in cash.
The investigation focuses on whether CPK’s board is undertaking a fair process to obtain maximum value and adequately compensate its shareholders in light of the company’s recent positive financial performance. For example, on May 5, 2011, CPK reported strong first quarter 2011 results, in which quarterly revenue beat analyst expectations, and the company reported operating earnings per share of $0.09 versus a consensus estimate of $0.06. In addition, there are at least seven analysts with price targets ranging from $19.00-$24.00, all higher than the offer price of $18.50 per share.
If you own stock in CPK and would like more information about your shareholder rights, please complete the form below and we will contact you directly. We also welcome you to call us at 800-350-6003.