Ademi LLP is investigating Renewable Energy (NASDAQ: REGI) for possible breaches of fiduciary duty and other violations of law in its transaction with Chevron.
Ademi LLP alleges Renewable Energy’s financial outlook and prospects are excellent and yet Renewable Energy shareholders will receive only $61.50 per share. The merger agreement unreasonably limits competing bids for Renewable Energy by prohibiting solicitation of further bids, and imposing a significant penalty if Renewable Energy accepts a superior bid. Renewable Energy insiders will receive substantial benefits as part of change of control arrangements.
We are investigating the conduct of Renewable Energy’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 Renewable Energy.