Andrews & Springer LLC, a boutique securities class action law firm focused on representing shareholders nationwide, is investigating potential breach of fiduciary duty claims against the Board of Directors of Avenue Financial Holdings, Inc. (NASDAQGS:AVNU) (“Avenue Financial” or the “Company”) relating to the sale of the Company to Pinnacle Financial Partners, Inc. (“Pinnacle Financial”). On January 28, 2016, the two companies announced the signing of a definitive merger agreement pursuant to which Pinnacle Financial will acquire Avenue Financial in a deal worth $201.4 million. As a result of the merger, Avenue Financial shareholders are only anticipated to receive 0.36 shares of Pinnacle Financial and $2.00 per share in cash in exchange for each share they own. The total consideration Avenue Financial shareholders anticipate receiving is roughly $20.03 per share.
In particular, our firm is investigating the insufficient consideration that Avenue Financial shareholders are expected to receive. Following the merger, Avenue Financial shareholders are expected to be substantially diluted, owning only 8.1% of the combined company. Additionally, the 0.36 exchange ratio restricts the value that Avenue Financial shareholders are expected to receive by exposing Avenue Financial shareholders to the volatility of Pinnacle Financial’s average 10-day share price at the time of closing. Tellingly, since the merger has been announced on January 28, 2016, Pinnacle Financial’s stock price fell from $51.32 per share to $46.81 per share as of February 5, 2016.
If you own shares of Avenue Financial and want to receive additional information and protect your investments free of charge, please visit us at http://www.andrewsspringer.com/cases-investigations/avenue-financial-class-action-investigation or contact Craig J. Springer, Esq. at email@example.com, or call toll free at 1-800-423-6013. You may also follow us on LinkedIn – www.linkedin.com/company/andrews-&-springer-llc, Twitter – www.twitter.com/AndrewsSpringer or Facebook - www.facebook.com/AndrewsSpringer for future updates.
Andrews & Springer is a boutique securities class action law firm representing shareholders nationwide who are victims of securities fraud, breaches of fiduciary duty or corporate misconduct. Having formerly defended some of the largest financial institutions in the world, our founding members use their valuable knowledge, experience, and superior skill for the sole purpose of achieving positive results for investors. These traits are the hallmarks of our innovative approach to each case our Firm decides to prosecute. For more information please visit our website at www.andrewsspringer.com. This notice may constitute Attorney Advertising.
Craig J. Springer, Esq., 800-423-6013