SAN DIEGO and LORAIN,
Ohio, Dec.
16, 2014 /PRNewswire/ -- Shareholder rights attorneys at
Robbins Arroyo LLP are investigating the proposed acquisition of
LNB Bancorp Inc. (NASDAQ: LNBB) by Northwest Bancshares, Inc.
(NASDAQ: NWBI). On December 15,
2014, the two companies announced the signing of a
definitive merger agreement. Under the terms of the
agreement, LNB Bancorp shareholders will receive $18.64 for each share of LNB Bancorp common
stock.
View this information on the law firm's Shareholder Rights Blog:
www.robbinsarroyo.com/shareholders-rights-blog/lnb-bancorp-incorporated
Is the Proposed Acquisition Best for LNB Bancorp and Its
Shareholders?
Robbins Arroyo LLP's investigation focuses on whether the board
of directors at LNB Bancorp is undertaking a fair process to obtain
maximum value and adequately compensate its shareholders.
As an initial matter, the $18.64
merger consideration represents a premium of only 7.9% based on LNB
Bancorp's closing price on December 12,
2014. This premium is significantly below the average
one-day premium of 42.4% for comparable transactions within the
past year.
On October 29, 2014, LNB Bancorp
released its earnings results for its third quarter 2014,
reporting strong quarterly earnings. Specifically, LNB Bancorp
reported net income available to common shareholders of
$2.1 million, a 48% year-over-year
increase. In addition, the company reported loan increases of
$15.1 million or 6.7% annualized
during the quarter, as well as a 36% increase in noninterest income
from higher gains on sale of loans and improved trust income. In
commenting on these results, LNB Bancorp President and Chief
Executive Officer Daneil E. Klimas
remarked, "Overall, we are very pleased with the third quarter
results. We've seen solid loan growth and improvement in credit
quality continued, reducing charge-offs and the provision for loan
losses."
In light of these facts, Robbins Arroyo LLP is examining LNB
Bancorp's board of directors' decision to sell the company now
rather than allow shareholders to continue to participate in the
company's continued success and future growth prospects.
LNB Bancorp shareholders have the option to file a class action
lawsuit to ensure the board of directors obtains the best possible
price for shareholders and the disclosure of material information.
LNB Bancorp shareholders interested in information about their
rights and potential remedies can contact attorney 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 law
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.
Attorney Advertising. Past results do not guarantee a
similar outcome.
Contact:
Darnell R. Donahue
Robbins Arroyo LLP
600 B Street, Suite 1900
San Diego, CA 92101
ddonahue@robbinsarroyo.com
(619) 525-3990 or Toll Free (800) 350-6003
www.robbinsarroyo.com
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SOURCE Robbins Arroyo LLP