NEW YORK, May 8, 2014 /PRNewswire/ — Tripp Levy PLLC, a leading national securities and shareholder rights law firm, announces that it is investigating the acquisition of Chelsea Therapeutics International, Ltd. (NASDAQ: CHTP) (“Chelsea” or the “Company”) on behalf of its shareholders. H. Lundbeck A/S (“Lundbeck”) and Chelsea announced that the companies have entered into a definitive agreement under which Lundbeck will acquire Chelsea. Under the terms of the agreement, Chelsea shareholders shall receive $6.44 per share in cash, as well as CVRs that may pay up to an additional $1.50 upon achievement of certain commercial milestones related to NORTHERA’s commercial performance in the period 2015-2017.
The investigation concerns possible breaches of fiduciary duty and other violations of state law by the Board of Directors of Chelsea for not acting in Chelsea shareholders’ best interests in connection with the sale process of Chelsea. The investigation seeks to determine if there was an adequate auction process and if Lundbeck is underpaying for Chelsea shares. Indeed, analysts have projected that the true going forward inherent value of the company is worth at least $12 per share. Further, Chelsea stock traded as high as $6.83 per share just a few months ago. Moreover, the companies stated that there can be assurance that any or all of the CVRs will be made to shareholders.
If you are a shareholder of Chelsea and would like additional information regarding this matter, at no cost or expense, please contact us