NEW YORK, May 5, 2017 /PRNewswire/ -- WeissLaw LLP is
investigating possible breaches of fiduciary duty and other
violations of law by the Board of Directors of Span-America Medical
Systems, Inc. ("SPAN" or the "Company") in connection with the
proposed acquisition of the Company by Savaria Corporation
("Savaria"). Under the terms of the agreement, SPAN
shareholders will receive $29.00 in
cash for each share they own.
WeissLaw is investigating whether SPAN's Board acted to maximize
shareholder value prior to entering into the agreement.
Notably, on the same day as the acquisition announcement, the
Company preliminarily reported positive financial results for the
second quarter of fiscal year 2017. It announced that it
expected an increase of approximately 3% in net sales, from
$14.9 million in the same period of
the previous year to $15.2
million. It also reported double-digit growth in
operating income, from $1.2 million
in the second quarter of fiscal year 2016 to $1.4 million, representing a noteworthy 21%
increase year over year.
Given these facts, WeissLaw is investigating the Board of
Directors' decision to sell SPAN and whether SPAN's Board acted in
the best interests of SPAN's public shareholders by actively
shopping the Company to maximize shareholder value prior to
entering into the agreement with Savaria. If you own SPAN
shares and would like more information about your rights or our
investigation, or if you have information to share with us, please
contact Joshua Rubin by
telephone at (888) 593-4771 or by email at
stockinfo@weisslawllp.com.
WeissLaw LLP has litigated hundreds of stockholder class and
derivative actions for violations of corporate and fiduciary
duties. We have recovered over a billion dollars for
defrauded clients and obtained important corporate governance
relief in many of these cases. If you have information or
would like legal advice concerning possible corporate wrongdoing
(including insider trading, waste of corporate assets, accounting
fraud, or materially misleading information), consumer fraud
(including false advertising, defective products, or other
deceptive business practices), or anti-trust violations, please
email us at stockinfo@weisslawllp.com or fill out the form
on our website,
http://www.weisslawllp.com/span-america-medical-systems-inc/
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SOURCE WeissLaw LLP