WeissLaw LLP is investigating possible breaches of fiduciary duty and other violations of law by the Board of Directors of Praxair, Inc. (“PX” or the “Company”) in connection with the December 20, 2016 press release announcing the merger of the Company with Linde AG (“Linde”). Under the terms of the agreement, PX and Linde shareholders will receive 1.540 shares in the newly combined company for each share they own.
WeissLaw is investigating whether PX’s Board acted to maximize shareholder value prior to entering into the agreement. Notably, following the merger announcement, PX shares nose-dived from their December 19 closing price of $123 to trade for as low as $116.13 on December 22, a drop of nearly $7.00 or approximately 6%. Further, the transaction heavily favors Linde shareholders at the expense of shareholders of PX. According to Bloomberg columnist Brooke Sutherland, by offering a 50% share of the newly combined company to Linde shareholders, PX “[gave] away too much to seal [the] deal” with little regard for the “substantial regulatory and integration risks it’s taken on.” She explains that the newly combined company will face numerous obstacles, including: large divestitures, which could eat into cost-savings opportunities; and the herculean effort required to integrate the two culturally complex companies.
Given these facts, WeissLaw is investigating the Board of Directors’ decision to sell PX and whether PX shareholders will obtain their fair and proportionate share of the Company’s continued success and future growth prospects. If you own PX shares and would like more information about your rights or our investigation, or if you have information to share with us, please contact Joshua Rubin by telephone at (888) 593-4771 or by email at firstname.lastname@example.org.
WeissLaw LLP has litigated hundreds of stockholder class and derivative actions for violations of corporate and fiduciary duties. We have recovered over a billion dollars for defrauded clients and obtained important corporate governance relief in many of these cases. If you have information or would like legal advice concerning possible corporate wrongdoing (including insider trading, waste of corporate assets, accounting fraud, or materially misleading information), consumer fraud (including false advertising, defective products, or other deceptive business practices), or anti-trust violations, please email us at email@example.com or fill out the form on our website, http://www.weisslawllp.com/praxair-inc/