Law Office of Brodsky & Smith, LLC Announces Investigation of MIPS Technologies, Inc.
BALA CYNWYD, Pa., Dec. 3, 2012 /PRNewswire/ -- Law office of Brodsky & Smith, LLC announces that it is investigating potential claims against the Board of Directors of MIPS Technologies, Inc. ("MIPS" or the "Company") (Nasdaq: MIPS) relating to the proposed acquisition of the Company by Imagination Technologies Group PLC ('Imagination") and the sale of the Company's patents to Allied Security Trust ("Allied").
Under the terms of the transaction, Allied will acquire 498 of MIPS patents for $350 million and grant MIPS a perpetual license to the patents. In addition, MIPS will provide a restricted license to Allied for an additional 82 patents. Thereafter, Imagination will purchase MIPS for $60 million. The net proceeds of the two sales represent a purchase price of approximately $7.31 per share. The investigation concerns possible breaches of fiduciary duty and other violations of state law by the Board of Directors of MIPS for not acting in the Company's shareholders' best interests in connection with the sale process. The transaction may undervalue the Company and will result in a loss for many MIPS shareholders. For example MIPS stock traded at $17.71 on January 13, 2011 and $7.64 as recently as September 17, 2012. In addition, it has been reported, that MIPS has received an unsolicited merger proposal.
If you own shares of MIPS stock and wish to discuss the legal ramifications of the proposed transaction, or have any questions, you may e-mail or call the law office of Brodsky & Smith, LLC who will, without obligation or cost to you, attempt to answer your questions. You may contact Jason L. Brodsky, Esquire or Evan J. Smith, Esquire at Brodsky & Smith, LLC, Two Bala Plaza, Suite 602, Bala Cynwyd, PA 19004, by e-mail at firstname.lastname@example.org visiting http://brodsky-smith.com/512-mips-mips-technologies-inc.html, by calling toll free 877-LEGAL-90.
SOURCE Brodsky & Smith, LLC