The Board of Directors for The Fresh Market are under investigation as the company goes through the process of being acquired by Apollo Global.
The retailer accepted Apollo’s tender $1.36 billion offer last week, reportedly sparking an investigation into its leaders.
“The investigation focuses on whether Fresh Market’s Board of Directors breached their fiduciary duties to the Company’s stockholders by failing to conduct a fair sales process and whether and by how much this proposed transaction undervalues the Company to the detriment of Fresh Market’s shareholders,” a press release from New York-based national securities firm Farqui & Farqui states about the particulars of the investigation.
The agreement, which is set to close by the middle of this year if no other offers are made by midnight on April 1, 2016, would mean that stockholders receive $28.50 per share in cash of The Fresh Market’s common stock that they own. This offer comes short of at least one analyst target price of $44 per share, according to the release, and the 52-week high of $41.70 per share.
The investigation is being made by Farqui & Farqui, LLP’s Juan E. Monteverde, a partner at the firm.
DeliMarket News will continue to report on this story as more developments come to light.
