Ademi LLP is investigating ServiceSource (NASDAQ: SREV) for possible breaches of fiduciary duty and other violations of law in its transaction with Concentrix.
Ademi LLP alleges ServiceSource’s financial outlook and prospects are excellent and yet ServiceSource holders will receive only $1.50 per share in cash for each issued and outstanding share of common stock. The transaction agreement unreasonably limits competing bids for ServiceSource by prohibiting solicitation of further bids, and imposing a significant penalty if ServiceSource accepts a superior bid. ServiceSource insiders will receive substantial benefits as part of change of control arrangements.
We are investigating the conduct of ServiceSource’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 ServiceSource.