Ademi LLP is investigating American Renal Associates (NYSE:ARA) for possible breaches of fiduciary duty and other violations of the law in its transaction with Nautic Partners.
Ademi LLP alleges American Renal Associates’ financial outlook is improving and yet shareholders will receive only $11.50 for each share of American Renal Associates common stock held. The merger agreement unreasonably limits competing bids for American Renal Associates by prohibiting solicitation of further bids, and imposing a termination penalty if American Renal Associates accepts a superior bid. American Renal Associates insiders will receive millions of dollars as part of change of control arrangements. We are investigating the conduct of American Renal Associates’ board of directors, and whether they are (i) fulfilling their fiduciary duties to all shareholders, and (ii) obtaining a fair and reasonable price for American Renal Associates.