Pomerantz Haudek Grossman & Gross LLP is investigating claims on behalf of investors of SRS Labs, Inc. (“SRS” or the “Company”) (NASDAQ: SRSL) (ISIN: US78464M1062) concerning the proposed acquisition of SRS by DTS, Inc. (“DTS”), in a cash-and-stock transaction valued at approximately $148 million. The investigation concerns whether the SRS directors are breaching their fiduciary duties by failing to adequately shop the Company and maximize shareholder value. Under the terms of the agreement, SRS shareholders would receive a value of approximately $9.50 in cash and DTS shares per share of SRS common stock. However, the price to Revenue, Total Assets and Book Value multiples are below that of comparable deals. Additionally, the CEO is expected to join the DTS board following the transaction. At least one analyst has set a target price for SRS stock at $10 per share. SRS shareholders seeking more information about this acquisition are advised to contact Rebecca Jarmon at firstname.lastname@example.org or 212-661-1100 or 888-476-6529, ext. 314. The Pomerantz Firm, with offices in New York, Chicago, and Washington, D.C., is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 70 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.
Shares of SRS Labs (Nasdaq:SRSL) have taken a tremendous swing upward. The stock is trading at $9.27 as of 9:30 a.m. ET, 35.1% above Monday's closing price of $6.86. Volume is at 21,421, 0.5 times the daily average of 40,900.