Ademi LLP is investigating DSP Group (Nasdaq: DSPG), for possible breaches of fiduciary duty and other violations of law in its transaction with Synaptics.
Ademi LLP alleges DSP Group’s financial outlook and prospects are excellent and yet DSP Group shareholders will receive only $22.00 per share in an all-cash transaction. The merger agreement unreasonably limits competing bids for DSP Group by prohibiting solicitation of further bids, and imposing a substantial penalty of $19,774,000 if DSP Group accepts a superior bid. DSP Group insiders will receive millions of dollars as part of change of control arrangements. We are investigating the conduct of DSP Group’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 DSP Group.