July 24, 2015 (Shareholders Foundation) - An investor who currently holds shares of Aruba Networks, Inc. (NASDAQ:ARUN), filed a lawsuit in effort to halt the proposed takeover of Aruba Networks at $24.67 per share.
The plaintiff alleges that the defendants breached their fiduciary duties owed to NASDAQ:ARUN stockholders by agreeing to sell Aruba Networks, Inc. c too cheaply via an unfair process to Hewelett Packard Company
On March 2, 2015, Hewelett Packard Company (“HP”) and Aruba Networks, Inc. (NASDAQ:ARUN) announced an agreement for HP to acquire Aruba Networks, Inc. (NASDAQ:ARUN) for $24.67 per share in cash.
However, the plaintiff claims that the proposed consideration NASDAQ:ARUN shareholders will receive is grossly inadequate and undervalues Aruba Networks, Inc. Indeed, Aruba Networks, Inc. reported that its Total Revenue rose from $600.04 million for the 12 months period that ended on July 31, 2013 to $728.93 million for the 12 months period that ended on July 31, 2014 and that its Net Loss for those respective time periods declined from $31.61 million to $28.96 million. Shares of Aruba Networks, Inc. (NASDAQ:ARUN) grew from $13.10 per share in May 2013 to as high as $23.39 per share in September 2014. In addition, the plaintiff claims that the process is also unfair to NASDAQ:ARUN stockholders