Andrews & Springer Investigates SanDisk …

Andrews & Springer LLC, a boutique securities class action law firm focused on representing shareholders nationwide, is investigating potential breach of fiduciary duty claims against the board of directors of Fusion-IO, Inc. relating to the sale of the company to SanDisk Corporation.

On June 16, 2014, the two companies announced the signing of a definitive merger agreement pursuant to which SanDisk will acquire Fusion-IO in a merger via a tender offer in a deal worth roughly $1.1 billion.

As a result of the merger, Fusion-IO shareholders are only anticipated to receive $11.25 per share in cash in exchange for each share of Fusion-IO they own.

Our investigation so far has revealed that the consideration Fusion-IO shareholders are expected to receive is inadequate. Fusion-IO recently traded as high as $11.92 as of March 20, 2014. Also, analysts at Yahoo! Finance have set a $16.00 per share price target for Fusion-IO, which is approximately 42% more than what  shareholders are expected to receive.

Andrews & Springer is investigating whether Fusion-IO directors are breaching their fiduciary duties by failing to adequately shop the company and maximize shareholder value.