Drugstore.com, Inc. Shareholder Investigation By Briscoe Law Firm Concerning Acquisition By Walgreen Co.
Briscoe Law Firm, PLLC, founded by a former state prosecutor and
enforcement attorney for the United States Securities and Exchange
Commission, and the securities litigation law firm of
The Briscoe Law Firm, PLLC, founded by a former state prosecutor and enforcement attorney for the United States Securities and Exchange Commission, and the securities litigation law firm of Powers Taylor, LLP are investigating potential legal claims against the Board of Directors of Drugstore.com, Inc. (“drugstore.com” or “DSCM”) (NASDAQ: DSCM) related to the proposed buyout of drugstore.com by Walgreen Co. The definitive merger agreement involves an all-cash transaction valued at approximately $409 million. Under the proposed buyout, drugstore.com shareholders will receive only $3.80 in cash for each share of drugstore.com/DSCM common stock they hold. The transaction is expected to close in June 2011. The investigation relates to the fairness of the proposed transaction to drugstore.com shareholders, possible breaches of fiduciary duty and other violations of state law by the Board of Directors of drugstore.com for approving this transaction, and whether drugstore.com’s Board of Directors acted in the shareholders’ best interests. In addition, the firms seek to determine through their investigation whether drugstore.com’s Board of Directors obtained the best value for shareholders, adequately considered all viable alternatives, and properly shopped the company before entering into the acquisition agreement with Walgreen Co. As recently as May 2010, drugstore.com shares closed above $3.90 per share. Based on this and other factors, the firms do not believe that the acquisition price is fair to drugstore.com/DSCM shareholders. If you currently own shares of drugstore.com/DSCM and would like additional information regarding this investigation, or if you have information regarding the allegations involved in 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 matters.
Drugstore.com (Nasdaq:DSCM) is trading at unusually high volume Friday with 11.2 million shares changing hands. It is currently at 13.1 times its average daily volume and trading up eight cents (+2.2%).
Shares of Drugstore.com (Nasdaq:DSCM) were gapping up Thursday morning with an open price 112.3% higher than Wednesday's closing price. The stock closed at $1.79 yesterday and opened today's trading at $3.80.