SAN DIEGO and MINNETONKA,
Minn., May 23, 2013
/PRNewswire/ -- Shareholder rights attorneys at Robbins Arroyo LLP
are investigating the acquisition of Multiband Corporation (NASDAQ:
MBND) by Goodman Networks Incorporated. On May 22, 2013, the two companies announced the
signing of a definitive merger agreement whereby Goodman Networks
will acquire Multiband for $3.25 in
cash for each Multiband share.
(Logo:
http://photos.prnewswire.com/prnh/20130103/MM36754LOGO)
Is the Acquisition Best for Multiband and Its
Shareholders?
Robbins Arroyo LLP's investigation focuses on whether the board
of directors at Multiband is undertaking a fair process to obtain
maximum value and adequately compensate its shareholders in the
merger or whether they are seeking to benefit themselves.
On May 15, 2013, Multiband
released its first quarter 2013 financial results reflecting strong
growth in the company's WildBlue internet service, Multi-Dwelling
Unit ("MDU") segment, and Energy, Engineering & Construction
("EE&C") segment. Specifically, Multiband reported first
quarter WildBlue internet service revenue increased by 273%, or
$2.5 million, to $3.4 million in the quarter. Further, Multiband
reported that its MDU system operator revenues increased 21.8%.
Moreover, Multiband reported that its EE&C segment
revenues increased by 19.9%, with, CEO James L. Mandel, commenting that, "we expect
revenues in this segment to increase throughout the remainder of
2013 as we increase our sales activity and footprint."
In addition, the $3.25 offer price
is below the target price of multiple analysts, including a
$4 target price set by an analyst at
Craig-Hallum on August 15, 2012, and
a target price of $3.50 set by an
analyst at Northland Securities on November
15, 2012. Moreover, Multiband has traded above the
offer price as recently as March 27,
2012, reaching a high of $3.38.
Given these facts, the firm is examining the board of directors'
decision to sell Multiband now rather than allow shareholders to
continue to participate in the company's continued success and
future growth prospects.
Multiband shareholders have the option to file a class action
lawsuit to secure the best possible price for shareholders and the
disclosure of material information so shareholders can vote on the
transaction in an informed manner. Multiband shareholders
interested in information about their rights and potential remedies
can contact Darnell R. Donahue at
(800) 350-6003, ddonahue@robbinsarroyo.com, or via the shareholder
information form on the firm's website.
Robbins Arroyo LLP is a nationally recognized leader in
securities litigation and shareholder rights law. The firm
represents individual and institutional investors in shareholder
derivative and securities class action lawsuits, and has helped its
clients realize more than $1 billion
of value for themselves and the companies in which they have
invested. For more information, please go to
http://www.robbinsarroyo.com.
Press release link:
http://www.robbinsarroyo.com/shareholders-rights-blog/multiband-corporation/
Attorney Advertising. Past results do not guarantee a similar
outcome.
Contact:
Darnell R. Donahue
Robbins Arroyo LLP
ddonahue@robbinsarroyo.com
(619) 525-3990 or Toll Free (800) 350-6003
www.robbinsarroyo.com
SOURCE Robbins Arroyo LLP
