The Ademi Firm is investigating ProAssurance (NYSE: PRA) for possible breaches of fiduciary duty and other violations of law in its transaction with The Doctors Company.
In the transaction, ProAssurance shareholders will receive only $25.00 in cash per share of ProAssurance common stock, with a transaction value of approximately $1.3 billion. ProAssurance insiders will receive substantial benefits as part of change of control arrangements.
The transaction agreement unreasonably limits competing transactions for ProAssurance by imposing a significant penalty if ProAssurance accepts a competing bid. We are investigating the conduct of the ProAssurance board of directors, and whether they are fulfilling their fiduciary duties to all shareholders.