Weiss & Lurie, a national class action and shareholder rights law firm
with offices in New York City and Los Angeles, is investigating possible
breaches of fiduciary duty and other violations of law by the Board of
Directors of GeoEye, Inc. (NasdaqGS: GEOY) arising from its agreement
for GeoEye to be acquired by DigitalGlobe, Inc. (NYSE: DGI).
Under the terms of the deal, for each GeoEye share, shareholders may
elect to receive either: (i) 1.137 DigitalGlobe shares and $4.10; (ii)
$20.27 in cash; or (iii) 1.425 DigitalGlobe shares, subject to certain
conditions. Based on DigitalGlobe stock’s closing price on July 20,
2012, the last trading day before the deal was announced, the
transaction values GeoEye at approximately $21.35 per share.
Weiss & Lurie is investigating whether GeoEye’s Board acted in the best
interests of shareholders in approving this deal. While the total value
of the deal is approximately $800-900 million, cost-saving synergies
expected to be gained by DigitalGlobe are valued at $1.5 billion over
two years after the deal closes.
Prior to the deal’s announcement, several analysts following GeoEye had
set the price target of the stock at or above $24 per share, with a high
target of $36 per share. Indeed, GeoEye stock’s 52-week high is $42.31
per share. The stock traded at or above $20 per share throughout most of
this calendar year, reaching a high of $26.31 per share on May 4, 2012.
If you own GeoEye shares and would like more information about your
rights as a shareholder or additional information concerning our
investigation, please contact Julia J. Sun either by email at info@weisslurie.com
or by telephone at (888) 593-4771.
Weiss & Lurie 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 institutions and
individuals and obtained important corporate governance in these cases.
If you have information or would like legal advice concerning possible
corporate wrongdoing, consumer fraud, or anti-trust violations, please
email us at info@weisslurie.com
or fill out the form on our website, http://www.weisslurie.com/contact/report_fraud/.
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