Robbins Umeda LLP Is Investigating Warner Music Group Corp. Acquisition for Shareholders
Robbins Umeda LLP, a shareholder rights litigation firm, is interested in helping shareholders of Warner Music Group Corp. (NYSE:WMG). 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 Warner Music in connection with their efforts to sell Warner Music to Access Industiries.
On May 6, 2011, Warner Music and Access announced they have entered a definitive merger agreement under which Access will acquire all the outstanding shares of Warner Music for $8.25 per share. The transaction is expected to be completed in the third quarter of 2011.
The investigation focuses on whether Warner Music’s board is undertaking a fair process to obtain maximum value for its shareholders. At least one analyst has a price target of $8.50 for the company. Further, in February 2011, Warner Music reported better than expected first quarter 2011 earnings per share results. Also, Thomas H. Lee Partners L.P. and its affiliates, Bain CapitalPartners, LLC and its affiliates, and Edgar Bronfman, Jr., who together hold approximately 56% of Warner Music’s outstanding shares, have entered into a voting agreement with Access under which those stockholders have agreed to vote their shares in favor of the merger.
If you own stock in Warner Music 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.