MONSEY, N.Y., Dec. 19, 2023 (GLOBE NEWSWIRE) -- The law firm of Wohl & Fruchter LLP is investigating the merger of Conn’s Inc. (Nasdaq: CONN) (“CONN”) with W.S. Badcock LLC in a transaction contemplating a substantial issuance of CONN common stock.
If you remain a CONN shareholder and have concerns about this deal, you may contact our firm at the following link to discuss your legal rights at no charge:
https://wohlfruchter.com/cases/conns-inc/
Alternatively, you may contact us by phone at 866-833-6245, or via email at alerts@wohlfruchter.com.
Why is there an investigation?
On December 18, 2023, CONN announced that it had consummated an all-stock deal that resulted in Badcock becoming a wholly-owned subsidiary of CONN. To consummate the deal, CONN issued 1 million shares of non-voting senior preferred stock convertible into a to-be issued class of non-voting common stock. The creation and issuance of the non-voting common shares is subject to the approval of CONN’s common shareholders. After giving effect to the stock issuance and assuming the conversion of the preferred shares into non-voting common stock, the newly issued common stock will represent 49.99% of CONN’s outstanding common stock.
“We are investigating whether the CONN Board of Directors acted in the best interests of CONN shareholders in approving this transaction,” explained Joshua Fruchter, a founding partner of Wohl & Fruchter. “This includes whether all material information regarding the transaction has been and will be fully disclosed to CONN shareholders.”
Notably, CONN shareholders publishing to SeekingAlpha have expressed concerns about the recent financial performance of Badcock.
About Wohl & Fruchter
Wohl & Fruchter LLP has for over a decade been representing investors in litigation arising from fraud and other corporate misconduct, and recovered hundreds of millions of dollars in damages for investors. Please visit our website, www.wohlfruchter.com, to learn more about our Firm, or contact one of our partners.
Contact:
Wohl & Fruchter LLP
Joshua E. Fruchter
Toll Free 866.833.6245
alerts@wohlfruchter.com
www.wohlfruchter.com
