NEW YORK, Sept. 15, 2016 /PRNewswire/ -- WeissLaw LLP
is investigating possible breaches of fiduciary duty and other
violations of law by the Board of Directors of American Farmland
Company ("AFCO" or the "Company") in connection with the proposed
acquisition of the Company by Farmland Partners, Inc. ("FPI"). On
September 12, 2016, AFCO and FPI
jointly announced that a definitive agreement for FPI to acquire
all outstanding shares of AFCO in a stock-for stock transaction.
Under the terms of the agreement, AFCO shareholders and operating
partnership unitholders will receive 0.7417 of a newly issued FPI
share for each AFCO share and unit they own.
WeissLaw is investigating whether AFCO's Board acted to maximize
shareholder value prior to entering into the
agreement. Notably, AFCO recently announced positive financial
results. On August 15, 2016, the
Company reported operating revenues of $3.1
million in the quarter ended June 30,
2016, compared to $2.8 million
reported in the same period of the previous year. In addition,
FPI announced it expected the transaction "to contribute
approximately $16 million in revenue
in 2016, increasing FPI's total revenue from $26 million to approximately $42 million." Finally, upon completion of the
transaction, AFCO shareholders and unitholders will own a mere 35%
of the newly combined company.
Given these facts, WeissLaw is investigating the Board of
Directors' decision to sell AFCO and whether AFCO shareholders will
obtain their fair and proportionate share of the Company's
continued success and future growth prospects. If you own AFCO
shares or units and would like more information about your rights
or our investigation, or if you have information to share with us,
please contact Joshua Rubin by
telephone at (888) 593-4771 or by email at
stockinfo@weisslawllp.com.
WeissLaw LLP has litigated hundreds of stockholder class and
derivative actions for violations of corporate and fiduciary
duties. We have recovered over a billion dollars for defrauded
clients and obtained important corporate governance relief in many
of these cases. If you have information or would like legal advice
concerning possible corporate wrongdoing (including insider
trading, waste of corporate assets, accounting fraud, or materially
misleading information), consumer fraud (including false
advertising, defective products, or other deceptive business
practices), or anti-trust violations, please email us at
stockinfo@weisslawllp.com or fill out the form on our
website,
http://www.weisslawllp.com/contact/report_fraud/.
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SOURCE WeissLaw LLP