Law office of Brodsky & Smith, LLC announces that it is investigating potential claims against the Board of Directors of Hot Topic, Inc. (“Hot Topic” or the “Company”) (Nasdaq: HOTT) relating to the proposed acquisition by Sycamore Partners (“Sycamore”).
Under the terms of the transaction, Hot Topic shareholders will receive only $14.00 in cash for each share of Hot Topic stock they own. The investigation concerns possible breaches of fiduciary duty and other violations of state law by the Board of Directors of Hot Topic for not acting in the Company’s shareholders' best interests in connection with the sale process to Sycamore. The transaction may undervalue the Company as an analyst has set a $16.40 per share price target for Hot Topic stock. The focus of the investigation is whether the Hot Topic Board of Directors breached their fiduciary duties by failing to conduct an adequate and fair sales process prior to agreeing to this proposed transaction.
If you own shares of Hot Topic stock and wish to discuss the legal ramifications of the proposed transaction, or have any questions, you may e-mail or call the law office of Brodsky & Smith, LLC who will, without obligation or cost to you, attempt to answer your questions. You may contact Jason L. Brodsky, Esquire or Evan J. Smith, Esquire at Brodsky & Smith, LLC, Two Bala Plaza, Suite 602, Bala Cynwyd, PA 19004, by e-mail at
, or by calling toll free 877-LEGAL-90.