LIFE QUOT : Levi & Korsinsky, LLP Investigates Possible Breach of Fiduciary Duty by the Board of Life Quotes, Inc. - QUOT
06/24/2010 | 12:05pm
Levi & Korsinsky is investigating the Board of Directors of Life Quotes,
Inc. (?Life Quotes? or the ?Company?) (NasdaqCM: QUOT) for possible
breaches of fiduciary duty and other violations of state law in
connection with their attempt to sell the Company to LQ Acquisition,
Inc., a company owned and controlled by Robert S. Bland, President and
Chief Executive Officer of Life Quotes (LQ Acquisition). Under the terms
of the transaction, Life Quotes shareholders will receive $4.00 in cash
for each Life Quotes share of common stock they own.
LQ Acquisition currently owns approximately 31% of the shares in Life
Quotes and has also signed share tender agreements with major
stockholders William V. Thoms and Zions Bancorporation under which each
agreed to tender their shares in the offer, which together with the
shares already owned by LQ Acquisition, Inc., would be approximately 73%
of the total shares of Life Quotes. Also a condition of the tender
offer, Life Quotes will loan $19 million to LQ Acquisition, Inc. to pay
for properly tendered shares.
The investigation concerns whether the Life Quotes Board of Directors
breached their fiduciary duties to Life Quotes stockholders by failing
to adequately shop the Company before entering into this transaction and
whether LQ Acquisition is underpaying for Life Quotes shares, thus
unlawfully harming Life Quotes stockholders. In particular, the Company
has a book value in excess of $4.40 per share and has $3.04 per share in
cash with no debt.
If you own common stock in Life Quotes and wish to obtain additional
information, please contact Joseph E. Levi, Esq. either via email at jlevi@zlk.com
or by telephone at (212) 363-7500 or visit http://www.zlk.com/life-quotes-quot.html.
Levi & Korsinsky has expertise in prosecuting investor securities
litigation and extensive experience in actions involving financial fraud
and represents investors throughout the nation, concentrating its
practice in securities and shareholder litigation.
Levi & Korsinsky, LLP
Joseph Levi, Esq.
Eduard Korsinsky,
Esq.
30 Broad Street - 15th Floor
New York, NY 10004
Tel:
(212) 363-7500
Fax: (212) 363-7171
www.zlk.com
© Business Wire 2010
