The Law Office of Jack Stuart Beige & Associates, P.C. Announces Investigation of DIRECTV Buyout Proposal
SMITHTOWN, NY, May 19, 2014:
The Law Office of Jack Stuart Beige & Associates, P.C. announces that it is investigating the Board of Directors of DIRECTV (“DTV”) (NASDAQ GS: DTV) for possible breaches of fiduciary duties and other violations of law in connection with DTV’s agreement to be acquired by AT&T, Inc. (“AT&T”) (NYSE: T), in a transaction valued at approximately $48.5 billion.
Under the terms of the agreement, public shareholders of DTV would receive $95.00 per share, comprised of $28.50 in cash and 1.905 shares of AT&T common stock for each share of DTV they own. The stock portion will be subject to a collar such that DTV shareholders will receive 1.905 AT&T shares if AT&T stock price is below $34.90 at closing and 1.724 AT&T shares if AT&T stock price is above $38.58 at closing. If AT&T stock price at closing is between $34.90 and $38.58, DTV shareholders will receive a number of shares between 1.724 and 1.905, equal to $66.50 in value.
The investigation concerns whether DTV’s Board of Directors breached its fiduciary duties to stockholders, whether the proposed consideration to be paid to DTV’s stockholders would be fair and adequate, and whether DTV is acting in its stockholders’ best interests.