Kaskela Law LLC announces that it is investigating Franchise Group, Inc. (NASDAQ: FRG) (“Franchise Group”) on behalf of the company’s shareholders.
On May 10, 2023, Franchise Group announced that it would be acquired by an investment consortium led by the company’s Chief Executive Officer (“CEO”) at a price of $30.00 per share – a less than 4% premium to the stock’s closing price the prior day.
Notably, shares of Franchise Group’s stock traded above $32.00 per share as recently as January 2023, and above $43.00 per share less than one year ago. Following the closing of the proposed transaction, Franchise Group investors will be cashed out of their investment position and the company’s shares will no longer be publicly traded.
The investigation seeks to determine whether Franchise Group shareholders will be receiving appropriate consideration for their FRG shares, and whether Franchise Group’s directors breached their fiduciary duties or violated the securities laws in agreeing to sell the company at $30.00 per share.
Franchise Group shareholders are encouraged to contact Kaskela Law LLC (D. Seamus Kaskela, Esq. or Adrienne Bell, Esq.) at (484) 229 – 0750, or by completing the form on this page, for additional information about this investigation and their legal rights and options.