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Investor News: Buyout of The First Marblehead Corporation (NYSE:FMD) under Investigation

An investigation for investors in NYSE:FMD shares was announced concerning whether the takeover of The First Marblehead Corporation for $5.05 per share is unfair to NYSE:FMD stockholders.

Investors who purchased shares of The First Marblehead Corporation (NYSE:FMD) and currently hold any of those NYSE:FMD shares have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 – 1554.

The investigation by a law firm concerns whether certain officers and directors of The First Marblehead Corporation breached their fiduciary duties owed to NYSE:FMD investors in connection with the proposed acquisition.

On June 2, 2016, Medford, MA based The First Marblehead Corporation announced that it has entered into a merger agreement to be acquired by FP Resources USA Inc., an entity beneficially owned by John Carter Risley of Nova Scotia, Canada, for US$5.05 per share in cash, in a transaction valued at approximately US$65.5 million..

However, given that NYSE:FMD shares traded in 2015 as high as $6.90 per share, the investigation concerns whether the offer is unfair to NYSE:FMD stockholders. More specifically, given that as of the date of the merger agreement, Mr. Risley beneficially owned approximately 14.9% of the outstanding shares of the First Marblehead Corporation’s common stock and that certain stockholders have already agreed to vote in favor of the transaction shares representing approximately 24.1% of the issued and outstanding shares of the First Marblehead Corporation’s common stock, the investigation concerns whether the First Marblehead Board of Directors undertook an adequate sales process, adequately shopped the company before entering into the transaction, maximized shareholder value by negotiating the best price, and acted in the shareholders’ best interests in connection with the proposed sale.

On June 15, 2016, NYSE:FMD shares closed at $4.86 per share.

Those who are current investors in NYSE:FMD shares have certain options and should contact the Shareholders Foundation.

Contact:
Shareholders Foundation, Inc.
Michael Daniels
3111 Camino Del Rio North – Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com

John:
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