(WBT): Johnson Fistel Investigates Proposed Sale of Welbilt; Are Shareholders Getting a Fair Deal?

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Apr 21, 2021, 08:34 ET

SAN DIEGO, April 21, 2021 /PRNewswire/ -- Shareholder rights law firm Johnson Fistel, LLP has launched an investigation into whether the board members of Welbilt, Inc. (NYSE: WBT) ("Welbilt" or the "Company") breached their fiduciary duties in connection with the proposed sale of the Company to The Middleby Corporation (NASDAQ: MIDD) ("Middleby" or the "Company").

On April 21, 2021, Welbilt announced that it had entered into a definitive merger agreement with Middleby. Under the terms of the deal, Welbilt shareholders will receive a fixed exchange ratio of 0.1240 shares of Middleby common stock for each share of Welbilt common stock in an all-stock transaction. Based on Middleby 's closing stock price on April 20, 2021, this represents a total consideration of approximately $20.69 per Welbilt share.

Welbilt shareholders will be subject to the future price fluctuation of Middleby's stock price. Following the news, in pre-market trading on April 21, 2021, Middleby's stock was trading down over 5%.

The investigation concerns whether the Welbilt 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 Welbilt shares of common stock. Nationally recognized, Johnson Fistel is investigating whether the proposed deal represents adequate consideration, especially given analysts' projections for future earnings and revenue growth.

If you are a shareholder of Welbilt and believe the proposed buyout price is too low or you're interested in learning more about the investigation, please contact lead analyst Jim Baker ([email protected]) at 619-814-4471. If emailing, please include a phone number.

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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 https://www.johnsonfistel.com. Attorney advertising. Past results do not guarantee future outcomes.

Contact:
Johnson Fistel, LLP
Jim Baker, 619-814-4471
[email protected]

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SOURCE Johnson Fistel, LLP