The Briscoe Law Firm, PLLC, founded by a former state prosecutor and enforcement attorney for the United States Securities and Exchange Commission, and the law firm of Powers Taylor, LLP are investigating potential legal claims against the Board of Directors of Rewards Network, Inc. (“Rewards Network” or “DINE”) (NASDAQ: DINE) related to the proposed acquisition of Rewards Network by EGI Acquisition, L.L.C., an affiliate of the private equity firm Equity Group Investments, L.L.C.
The definitive merger agreement, which was announced on October 28, 2010, involves a transaction valued at approximately $126 million under which Reward Network’s shareholders will receive only $13.75 in cash per share. However, the proposed acquisition price is below Reward Network’s closing price of $14.19 per share the day before the merger announcement. In addition, Reward Network/DINE shares have traded as high as $15.00 per share in 2010. Based on the lack of a premium to shareholders, and Reward Network’s historic stock price, the firm believes that the proposed transaction may undervalue DINE shares and not be fair to Reward Network’s shareholders.
This investigation relates to possible breaches of fiduciary duty and other violations of state law by the Board of Directors of Reward Network for approving this transaction and whether Reward Network’s Board of Directors acted in the shareholders’ best interests.
If you currently own shares of Reward Network/DINE and would like additional information regarding this investigation, or if you have information regarding the allegations involving this transaction, please contact Patrick Powers at Powers Taylor, LLP, toll free (877) 728-9607, via e-mail at email@example.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 and transactional matters.