Ademi LLP is investigating Duckhorn (NYSE: NAPA) for possible breaches of fiduciary duty and other violations of law in its transaction with Butterfly Equity.
In the transaction, Duckhorn shareholders will receive only $11.10 per share in an all-cash transaction that values the Company at approximately $1.95 billion. The transaction agreement unreasonably limits competing transactions for Duckhorn by imposing a significant penalty if Duckhorn accepts a competing bid. Duckhorn insiders will receive substantial benefits as part of change of control arrangements.
We are investigating the conduct of Duckhorn’s board of directors, and whether they are fulfilling their fiduciary duties to all shareholders.