Science & Technology
Mon, February 28, 2011Sun, February 27, 2011Sat, February 26, 2011Fri, February 25, 2011Thu, February 24, 2011Wed, February 23, 2011Tue, February 22, 2011Mon, February 21, 2011Sun, February 20, 2011Fri, February 18, 2011Thu, February 17, 2011Wed, February 16, 2011Rigrodsky & Long, P.A. Investigates Buyout of Tollgrade Communications, Inc. - TLGD
Published in Science and Technology on Tuesday, February 22nd 2011 at 8:45 GMT by Market Wire
WILMINGTON, Del.--([ BUSINESS WIRE ])--[ Rigrodsky & Long, P.A. ] announces that it is investigating potential claims against the board of directors of Tollgrade Communications, Inc. (aTollgradea or the aCompanya) (Nasdaq: [ TLGD ]) concerning possible breaches of fiduciary duty and other violations of law related to the Companya™s entry into an agreement to be acquired and taken private by Golden Gate Capital in a transaction with a total value of approximately $137 million. Click here to learn how to join the action: [ http://www.rigrodskylong.com/news/TollgradeCommunications-TLGD ].
Under the proposed agreement, Golden Gate Capital will acquire all of Tollgradea™s outstanding shares for $10.10 per share in cash.
The investigation concerns whether Tollgradea™s board of directors failed to adequately shop the Company and obtain the best price possible for Tollgradea™s shareholders before entering into the agreement with Golden Gate Capital. Indeed, on October 28, 2010, Tollgrade announced its highest quarterly profit in nearly a decade when it reported $11.1 million in revenue. Edward Kennedy, President and CEO of Tollgrade, commented: aThe Company performed very well during the quarter, closing a key customer contract and posting positive net income for the second consecutive quarter. Although certain projects that we hoped would be included in our third quarter revenues have been delayed, we anticipate that they will close in the fourth quarter or early in 2011. Our primary focus still continues to be on our core customers to ensure they receive the highest levels of service. We are working hard to secure revenues from both new and existing customers. For example, in the third quarter, we finalized a new multi-year long term maintenance contract with a major European telecommunications provider. Lastly, during the quarter, we generated approximately $5.4million in cash from operations[.]a
If you own the common stock of Tollgrade and purchased your shares before February 22, 2011, if you have information or would like to learn more about these claims, or if you wish to discuss these matters or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact [ Seth D. Rigrodsky, Esquire ] or [ Noah R. Wortman, Case Development Director ], of Rigrodsky & Long, P.A., 919 N. Market Street, Suite 980, Wilmington, Delaware, by telephone at (888) 969-4242, or by e-mail to [ info@rigrodskylong.com ].
Rigrodsky & Long, P.A., with offices in Wilmington, Delaware and Garden City, New York, regularly litigates securities class, derivative and direct actions, shareholder rights litigation and corporate governance litigation, including claims for breach of fiduciary duty and proxy violations in the Delaware Court of Chancery and in state and federal courts throughout the United States.
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