The Ademi Firm is investigating SigmaTron (NASDAQ: SGMA) for possible breaches of fiduciary duty and other violations of law in its transaction with Transom.
In the transaction, shareholders of SigmaTron will receive $3.02 per share in cash, representing a total enterprise value of approximately $83 million. SigmaTron insiders will receive substantial benefits as part of change of control arrangements.
The transaction agreement unreasonably limits competing transactions for SigmaTron by imposing a significant penalty if SigmaTron accepts a competing bid. We are investigating the conduct of the SigmaTron board of directors, and whether they are fulfilling their fiduciary duties to all shareholders.