The securities litigation firm of Brower Piven, A Professional Corporation, has commenced an investigation into possible breaches of fiduciary duty to current shareholders of Sterling Financial Corporation (“Sterling” or the “Company”) (NASDAQ: STSA) and other violations of state law by the board of directors of Sterling relating to the proposed merger of the Company with Umpqua Holdings Corporation (“Umpqua”), the parent company of Umpqua Bank. The firm’s investigation seeks to determine, among other things, whether the board of directors of Sterling breached their fiduciary duties by failing to maximize shareholder value.
According to the press release announcing the proposed merger, Sterling shareholders will receive 1.671 shares of Umpqua common stock and $2.18 in cash for each share of Sterling common stock, and the total value of the Sterling merger consideration, based on the closing price of Umpqua shares on September 11, 2013 of $16.96, is $30.52. The press release also states that funds affiliated with Thomas H. Lee Partners, L.P. and Warburg Pincus, the two largest shareholders of Sterling, each owning approximately 20.8% of Sterling’s outstanding common stock, have already agreed to vote in favor of the transaction and will have the right to designate a representative (from each firm) to serve on the board of directors of the combined company following closing.
If you currently own common stock of Sterling and would like to learn more about the investigation being conducted by Brower Piven, you may email 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.