MANAGEMENT BUYOUT - LAW FIRM SEEKS MORE MONEY FOR SHAREHOLDERS
October 31, 2012
New York, New York -- Tripp Levy PLLC, a leading national securities law firm, is investigating the Board of Directors of MOD-PAC Corp. (“MOD-PAC” or the “Company”) (MPAC) for possible breaches of fiduciary duty and other violations of state law in connection with a going private proposal from Daniel G. Keane, the Company’s President and CEO, and Chairman Kevin T. Keane.
Under the terms of the proposed transaction, MOD-PAC shareholders would receive $7.20 in cash for each share of MOD-PAC stock they own. The transaction has a total approximate value of $25 million. The investigation concerns, among other things, whether the proposed consideration to be paid to MOD-PAC shareholders is unfair, inadequate, and substantially below the fair or inherent value of MOD-PAC, and whether the President and Chairman are taking advantage of their positions as Board members and shareholders of an aggregate 43% of MOD-PAC common shares in order to purchase the Company at an unfair price. In particular, MOD-PAC stock a reported Book Value of $8.03 per share.
If you own common stock in MOD-PAC and wish to obtain additional information, please contact us toll free at 877-772-3975 or email at contact @ tripplevy
Tripp Levy PLLC is a leading national law firm that has recovered millions for shareholders around the globe.