NetLogic Microsystems, Inc. (NASDAQ: NETL) shareholder litigation in connection with alleged unfair takeover offer
On September 12, 2011, NetLogic Microsystems, Inc. (or the “Company”) announced that it has agreed to sell the Company to Broadcom Corp. (NASDAQ: BRCM). Under the terms of the transaction, NetLogic shareholders will receive $50.00 per share
of NetLogic stock they own. The transaction has a total value of approximately $3.7 billion.
The investigation concerns whether the NetLogic Board of Directors breached their fiduciary duties to NetLogic stockholders by failing to adequately shop the Company before entering into this transaction and whether Broadcom Corp. is underpaying for NetLogic shares, thus unlawfully harming NetLogic stockholders. In particular, at least one analyst set a price target for NetLogic of $54.00 per share.