March 16, 2016 (Shareholders Foundation) - An investigation on behalf of investors, who currently hold shares of 1st Century Bancshares, Inc. (NASDAQ:FCTY), was announced concerning whether the takeover of 1st Century Bancshares, Inc. by Midland Financial Co is unfair to NASDAQ:FCTY stockholders.

The investigation by a law firm concerns whether certain officers and directors of 1st Century Bancshares, Inc. breached their fiduciary duties owed to NASDAQ:FCTY investors in connection with the proposed acquisition.

On March 10, 2016 Midland Financial Co., the holding company for MidFirst Bank, and 1st Century Bancshares, Inc. (NASDAQ:FCTY), the holding company for 1st Century Bank, National Association, announced they have entered into an agreement pursuant to which Midland Financial Co will acquire 1st Century Bancshares. Under the terms of the agreement, 1st Century Bancshares, Inc. stockholders will receive cash of $11.22 per share.

However, the investigation concerns whether the offer is unfair to 1st Century Bancshares, Inc. (NASDAQ:FCTY stockholders. More specifically, the investigation concerns whether the 1st Century Bancshares, Inc. (NASDAQ:FCTY Board of Directors undertook an adequate sales process, adequately shopped the company before entering into the transaction, maximized shareholder value by negotiating the best price, and acted in the shareholders' best interests in connection with the proposed sale.