Ademi LLP is investigating HMS Holding (NYSE:HMSY) for possible breaches of fiduciary duty and other violations of the law in its transaction with Veritas Capital-Backed Gainwell.
Ademi LLP alleges HMS Holding’s financial outlook is improving and yet HMS Holding shareholders will receive only $37.00 in cash per share. The merger agreement unreasonably limits competing bids for HMS Holding by prohibiting solicitation of further bids, and imposing a termination penalty if HMS Holding accepts a superior bid. HMS Holding insiders will receive millions of dollars as part of change of control arrangements. We are investigating the conduct of HMS Holding’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 HMS Holding.