Ademi LLP is investigating Reliant (NASDAQCM: RBNC) for possible breaches of fiduciary duty and other violations of law in its transaction with United.
Ademi LLP alleges Reliant’s financial outlook is excellent and yet Reliant shareholders will receive only 0.9842 shares of United common stock for each share of Reliant common stock outstanding or $30.58 per share of Reliant common stock, based on United’s closing stock price of $31.07 on July 13, 2021. The merger agreement unreasonably limits competing bids for Reliant by prohibiting solicitation of further bids, and imposing a termination penalty if Reliant accepts a superior bid. Reliant insiders will receive millions of dollars as part of change of control arrangements. We are investigating the conduct of Reliant’s board of directors, and whether they are (i) fulfilling their fiduciary duties to all shareholders, and (ii) obtaining a fair and reasonable price for Reliant.