NEW YORK, Aug. 21, 2018 /PRNewswire/ -- WeissLaw LLP
is investigating possible breaches of fiduciary duty and other
violations of law by the Board of Directors of Zoe's Kitchen, Inc.
("ZOES" or the "Company") (NYSE: ZOES) in connection with the
proposed acquisition of the Company by CAVA Group, Inc.
("CAVA"). Under the terms of the acquisition agreement,
shareholders will receive $12.75 in
cash for each ZOES share they own.
WeissLaw is investigating whether ZOES's Board acted to maximize
shareholder value prior to entering into the agreement.
Notably, several analysts have expressed unfavorable views about
the transaction. The deal, which would take the Company
private, is seen as "a lowball offer," especially when considering
that ZOES shares are still trading at all-time lows.
According to one analyst, the bid— which places a market value of
approximately $250 million on ZOES's
shares and an enterprise value of $300
million on the Company as a whole— is uninspiring when also
factoring in the Company's $350
million target revenue for the year.
Moreover, the $12.75 per-share bid
comes just four short years after the Company's IPO, during which
time ZOES shares were priced at $15.00 per share, or $2.25 above CAVA's per-share offer.
Finally, another analyst points to the deal's "hefty
$17 million termination fee" as an
indicator of CAVA's eagerness to "close the deal before the market
wakes up."
Given these facts, WeissLaw is investigating whether ZOES's
Board acted in the best interests of ZOES's public shareholders to
maximize shareholder value prior to entering into the
agreement. If you own ZOES 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/zoes-kitchen-inc/
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SOURCE WeissLaw LLP