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Capella (CPLA) Alert: Johnson Fistel Investigates Proposed Sale of Capella Education Company; Are Capella Shareholders Getting a Fair Deal?

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SAN DIEGO, Oct. 30, 2017 /PRNewswire/ -- Shareholder rights law firm Johnson Fistel, LLP has launched an investigation into whether the board members of Capella Education Company ("Capella") (NASDAQ: CPLA) breached their fiduciary duties in connection with the proposed sale of the Company to Strayer Education, Inc. ("Strayer") (NASDAQ: STRA). Capella provides online postsecondary education and job-ready skills development services in the United States.

On October 30, 2017, Capella announced that it had signed a definitive merger agreement with Strayer. Under the terms of the deal, Strayer and Capella will combine in an all-stock merger of equals with Capella shareholders receiving 0.875 Strayer shares for each Capella share. Based on Friday's stock closing prices, that values Capella shares at $80.26 each. However, shareholders will be subject to the future price fluctuation of Strayer's stock price.

The investigation concerns whether the Capella board failed to satisfy its duties to the Company shareholders, including whether the board adequately pursued alternatives to the acquisition and whether the board obtained the best price possible for Capella shares of common stock. Nationally recognized Johnson Fistel is investigating whether the proposed deal represents adequate consideration, especially given one Wall Street analyst has a $90.00 price target on the stock. The 52-week high for Capella was $99.25.

If you are a shareholder of Capella and believe the proposed buyout price is too low or you're interested in learning more about the investigation or your legal rights and remedies, please contact lead analyst Jim Baker (jimb@johnsonfistel.com) at 619-814-4471. If emailing, please include a phone number.

About Johnson Fistel, LLP:
Johnson Fistel, LLP is a nationally recognized shareholder rights law firm with offices in California, New York and Georgia. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits. For more information about the firm and its attorneys, please visit http://www.johnsonfistel.com. Attorney advertising. Past results do not guarantee future outcomes.

Contact:
Johnson Fistel, LLP
Jim Baker, 619-814-4471
jimb@johnsonfistel.com

 

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SOURCE Johnson Fistel, LLP

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