This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration. Need a new registration confirmation email? Click here
Feb. 16, 2012 /PRNewswire/ -- Former United States Securities and Exchange Commission attorney
Willie Briscoe and the securities litigation firm of
Powers Taylor, LLP are investigating the sale of Advance America, Cash Advance Centers, Inc. ("Advance America" or "AEA") (NYSE: AEA) to Grupo Elektra, S.A.B. de C.V. for shareholders. Under the proposed transaction, Advance America shareholders will receive
$10.50 in cash for each share of Advance America/AEA stock owned, which is well below the target price of
$11.00 per share announced by analysts.
If you are an affected investor, and you want to learn more about the lawsuit or join the action, contact
Patrick Powers at Powers Taylor, LLP, toll free (877) 728-9607, via e-mail at
Willie Briscoe at The Briscoe Law Firm, PLLC, (214) 706-9314, or via email at
WBriscoe@TheBriscoeLawFirm.com. There is no cost or fee to you.
The definitive merger agreement involves an all cash transaction with a total equity value of approximately
$780 million, including outstanding debt. The deal is expected to close during the first half of calendar year 2012.
The investigation centers on whether Advance America shareholders are receiving adequate compensation for their shares in the buyout, whether the transaction undervalues Advance America stock, and whether Advance America's board attempted to obtain the highest share price for all shareholders prior to agreeing to the deal. Although the acquisition price represents an approximate 31% premium over the closing price of Advance America shares the day prior to the buyout announcement, Advance America shares closed as high as
$10.46 per share as recently as
December 6, 2011. Further, according to Yahoo! Finance, at least one analyst has reported that the true inherent value of Advance America shares may be as high as
$11.00 per share. According to shareholder rights attorney
Willie Briscoe, "Because of the lack of a significant premium to the shareholders and other factors, we believe that the transaction may undervalue Advance America stock. Our lawsuit will seek to obtain the highest share price for all shareholders."
The Briscoe Law Firm, PLLC is a full service business litigation and shareholder rights advocacy firm with more than 20 years of experience in complex litigation and transactional matters.
Powers Taylor, LLP is a boutique litigation law firm that handles a variety of complex business litigation matters, including claims of investor and stockholder fraud, shareholder oppression, shareholder derivative suits, and security class actions.