Boston, MA 02/12/2014 (wallstreetpr) – Cadence Pharmaceuticals, Inc. (NASDAQ:CADX) now becomes the subject of Hardwood Feffer LLP investigations, the firm announced Wednesday. The said investigation touches on the proposed sale of CADX to another giant pharmaceutical. The investigating firm has also invited investors or those with interest in CADX to share their views through the firm’s website.
It emerged this week that an Irish company known as Mallinckrodt has offered to takeover Cadence Pharmaceuticals, Inc. (NASDAQ:CADX) to boost its position in specialty medicine line. The two companies have already discussed a lot about the proposed acquisition whereby boards of the two companies have already given the deal a green-light.
The terms of the agreement are such as Mallinckrodt paying $14 per share of Cadence Pharmaceuticals, Inc. (NASDAQ:CADX). This price is a premium over the closing price of the stock on Monday, just a day before the deal was made public.
What about the investigations
Even though the deal offers a premium value on the stock’s previous closing just before the announcement, investigation will be concerned with establishing whether the board of CADX acted in the best interest of investors.
Particularly, Hardwood Feffer LLP seeks to reveal if the board of CADX is fulfilling its fiduciary duties, disclosing all details that pertain to the benefits and costs of the deal, obtaining full and necessary consideration for the shareholders and much more, if the board is maximizing the value of Cadence Pharmaceuticals, Inc. (NASDAQ:CADX).
Thus, the investigators are asking those owning shares in CADX and who wish to discuss more about the matter to get in touch.
Harwood Feffer, involved in the Cadence Pharmaceuticals, Inc. (NASDAQ:CADX) acquisition investigation, has been representing investors – individual and institutional – for many years and it is serving as a lead counsel in many federal and state courts cases.
More about the deal
Mallinckrodt is apparently interested in boosting its portfolio in specialty drugs, an area that Cadence Pharmaceuticals, Inc. (NASDAQ:CADX) is already thriving. The company is ready to invest about $1.3 billion to have CADX which is best known for its injectable drug Ofirmev. The drug has been used to treat more than 7 million patients since its launch in 2011, and still counting.
Takeaway
Cadence Pharmaceuticals, Inc. (NASDAQ:CADX) investors are sitting on an opportunity that could see them make significant gain from the transaction. Yet investors on the side of Mallinckrodt are equally well taken care of because having CADX on their side would result an immediate boost to earnings and more so, ongoing strength in specialty drug segment.
