SAN DIEGO and BOISE,
Idaho, Sept. 16, 2013 /PRNewswire/ -- Shareholder
rights attorneys at Robbins Arroyo LLP are investigating the
acquisition of Boise Inc. (NYSE: BZ) by Packaging Corporation of
America (NYSE: PKG). On September 16,
2013, the two companies announced the signing of a
definitive merger agreement under which an affiliate of Packaging
Corporation will acquire Boise for
$12.55 in an all-cash tender offer.
The transaction is expected to close in the fourth quarter of
2013.
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Is the Merger Best for Boise and Its Shareholders?
Robbins Arroyo LLP's investigation focuses on whether the board
of directors at Boise is
undertaking a fair process to obtain maximum value and adequately
compensate its shareholders in the merger. As an initial
matter, the $12.55 consideration
represents a premium of only 26% based on the Boise's closing price on September 13, 2013. That premium is
substantially below the average one-day premium of 37.36% for
comparable transactions in the last three years.
On August 1, 2013, Boise issued a press release announcing the
company's operating results for its second quarter 2013, reporting
increases in packaging segment sales and packaging segment EBITDA.
Specifically, the company reported packaging segment sales in
the second quarter of $300.6 million,
an increase of $15.8 million,
compared to the same period 2012. Boise's packaging segment also reported an
increase in EBITDA, excluding special items, to $49.1 million for second quarter 2013, compared
to $40 million for the same period
2012. In announcing these results, Alexander Toeldte,
Boise's President and Chief
Executive Officer commented, "We grew both sales and margins in our
Packaging business during second quarter…. The two, large strategic
projects we announced in May are both proceeding as planned" and
"[w]e continue to believe both these projects will enhance not only
the competitiveness of these mills but also the competitiveness of
the company overall."
Given these facts, Robbins Arroyo is examining Boise's board of directors' decision to sell
the company to Packaging Corporation now rather than allow
shareholders to continue to participate in the company's continued
success and future growth prospects, and whether they are seeking
to benefit themselves.
Boise shareholders have the
option to file a class action lawsuit to secure the best possible
price for shareholders and the disclosure of material information
so shareholders can vote on the transaction in an informed manner.
Boise shareholders interested in information about their
rights and potential remedies can contact attorney Darnell R. Donahue at (800) 350-6003,
ddonahue@robbinsarroyo.com, or via the shareholder information form
on the firm's website.
Robbins Arroyo LLP is a nationally recognized leader in
securities litigation and shareholder rights law. The firm
represents individual and institutional investors in shareholder
derivative and securities class action lawsuits, and has helped its
clients realize more than $1 billion
of value for themselves and the companies in which they have
invested. For more information, please go to
http://www.robbinsarroyo.com.
Press release link:
http://www.robbinsarroyo.com/shareholders-rights-blog/boise-inc/
Attorney Advertising. Past results do not guarantee a
similar outcome.
Contact:
Darnell R. Donahue
Robbins Arroyo LLP
ddonahue@robbinsarroyo.com
(619) 525-3990 or Toll Free (800) 350-6003
www.robbinsarroyo.com
SOURCE Robbins Arroyo LLP