BALA CYNWYD, PA / ACCESSWIRE / July 29, 2021 / Law office of Brodsky & Smith announces that it is investigating potential claims against the Board of Directors ofRafael Holdings, Inc. ("Rafael Holdings" or the "Company") (NYSE:RFL) for possible breaches of fiduciary duty and other violations of federal and state law in connection with the Company's agreement to acquire Rafael Pharmaceuticals, Inc. ("Rafael Pharmaceuticals") in an all-stock transaction. Under the terms of the agreement, Rafael Pharmaceuticals' shareholders will receive a fixed exchange ratio of 0.1245 Class B shares of Rafael Holdings for each share of Rafael Pharmaceuticals owned. Upon completion of the merger, Rafael Holdings shareholders will be significantly diluted as Raphael Pharmaceuticals holders will own approximately 48% of the combined company.
The investigation concerns whether the Rafael Holdings Board breached its fiduciary duties to its shareholders, specifically, whether the Company's Class B shareholders will be unfairly diluted as a result of the merger.
If you own shares of Rafael Holdings stock and wish to discuss the legal ramifications of the investigation, or have any questions, you may e-mail or call the law office of Brodsky & Smith who will, without obligation or cost to you, attempt to answer your questions. You may contact Jason L. Brodsky, Esquire, or Marc L. Ackerman, Esquire at Brodsky & Smith, Two Bala Plaza, Suite 805, Bala Cynwyd, PA 19004, visit https://www.brodskysmith.com/cases/rafael-holdings-inc-nyse-rfl/, or call toll free 855-576-4847.
Brodsky & Smith is a litigation law firm with extensive expertise representing shareholders throughout the nation in securities and class action lawsuits. The attorneys at Brodsky & Smith have been appointed by numerous courts throughout the country to serve as lead counsel in class actions and have successfully recovered millions of dollars for our clients and shareholders. Attorney advertising. Prior results do not guarantee a similar outcome.
SOURCE: Brodsky & Smith, LLC
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