May 16, 2017 (Shareholders Foundation) - An investigation on behalf of investors, who currently hold shares of Angies List Inc (NASDAQ:ANGI), was announced concerning whether the takeover of Angies List Inc. by IAC is unfair to NASDAQ:ANGI stockholders.

The investigation by a law firm concerns whether certain officers and directors of Angies List Inc breached their fiduciary duties owed to NASDAQ:ANGI investors in connection with the proposed acquisition.

On May 2, 2017, Angie's List Inc (NASDAQ:ANGI) and IAC (NASDAQ: IAC) announced they have entered into an agreement to combine Angie's List and IAC's HomeAdvisor into a new, publicly traded company, to be called ANGI Homeservices Inc. Under the terms of the agreement, Angie's List Inc (NASDAQ:ANGI) stockholders will have the right to elect to receive either one share of Class A common stock of the new company or $8.50 per share in cash, for each share of Angie's List Inc (NASDAQ:ANGI) stock that they own, with the total amount of cash available in the transaction capped at $130 million.

However, given that at least one analyst has set the high target price for NASDAQ:ANGI shares at $9.00 per share and that NASDAQ:ANGI shares rose to as high as $11.91 per share on May 10, 2017 in the open market, the investigation concerns whether the offer is unfair to NASDAQ:ANGI stockholders. More specifically, the investigation concerns whether the Angies List 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.

Shares of Angie's List Inc (NASDAQ:ANGI) reached in 2013 as high as $28.00 per share.