DALLAS, Sept. 28, 2009 (GLOBE NEWSWIRE) -- Kendall Law Group, led by a former federal judge and former U.S. Attorney, announces a shareholder investigation on behalf of Gander Mountain Company (Nasdaq:GMTN) in connection with its announcement today that it plans to cease its public company status.
The firm is investigating whether the special committee of Gander Mountain's board of directors breached their fiduciary duties by not acting in the shareholders' best interests in connection with the decision to go private. In order to ensure that it will be eligible to deregister its shares of common stock, the Company will reduce its number of beneficial shareholders to below 300. To do this, the special committee recommended that articles of incorporation be amended to effect a 1-for-30,000 reverse stock split of its common stock. After this split, any shareholder holding less than one share will receive a cash payment for $5.15 per share held prior to the reverse split. Immediately following this, a second amendment to the articles of incorporation will effect a 30,000-for-1 forward stock split. Shareholders owning 30,000 or more shares at that time will retain their current numbers of shares without change and will not receive cash in the transaction. The funding for the cash payment for the fractional shares will be provided by the company's two largest shareholders, Gratco LLC and Holiday Stationstores, Inc.
Kendall Law Group has nationwide experience representing investors in mergers and acquisitions. For information about your rights as a COMPANY shareholder, contact attorney Hamilton Lindley at 877-744-3728 or by email at hlindley@kendalllawgroup.com.
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