The law firm of Brower Piven, A Professional Corporation, has commenced an investigation into possible breaches of fiduciary duty to current shareholders of Gerber Scientific, Inc. (“Gerber Scientific”) (NYSE: GRB) and other violations of state law by the Board of Directors of Gerber Scientific relating to the proposed acquisition of the company by Vector Capital Corporation (“Vector”). The firm’s investigation seeks to determine whether Gerber Scientific’s Board breached their fiduciary duties by, among other things, failing to maximize shareholder value.
On June 13, 2011, Gerber Scientific and Vector jointly announced that they have entered into a definitive merger agreement for Gerber Scientific to be acquired by Vector, in a total transaction value of approximately $281.8 million. Under the terms of the agreement, Gerber Scientific shareholders will receive $11.00 per share for each Gerber Scientific stock. However, Gerber Scientific has been performing well recently, reporting substantial operating income improvement on 13% revenue growth for the fiscal 2011 third quarter. Gerber Scientific reported revenue increase of 12.8% to $112.0 million, or up 14.7% on a constant currency basis, gross profit increase of $7.3 million to $37.1 million, and operating income increase of $2.4 million to $3.1 million. The transaction is expected to close in the second half of 2011.
If you own Gerber Scientific common stock and would like to learn more about the investigation being conducted by Brower Piven, you may e-mail or call Brower Piven, who will, without obligation or cost to you, attempt to answer your questions. You may contact Brower Piven by email at
, by calling 410/415-6616, or at Brower Piven, A Professional Corporation, 1925 Old Valley Road, Stevenson, Maryland 21153. Attorneys at Brower Piven have combined experience litigating securities and other class action cases of over 60 years.