Ademi LLP is investigating The Aaron’s Company (NYSE: AAN) for possible breaches of fiduciary duty and other violations of law in its transaction with IQVentures.
In the transaction, The Aaron’s Company shareholders will receive only $10.10 per share in cash, or an enterprise value of approximately $504 million. The transaction agreement unreasonably limits competing transactions for The Aaron’s Company by imposing a significant penalty if The Aaron’s Company accepts a competing bid. The Aaron’s Company insiders will receive substantial benefits as part of change of control arrangements.
We are investigating the conduct of The Aaron’s Company’s board of directors, and whether they are fulfilling their fiduciary duties to all shareholders.