An investigation on behalf of investors, who currently hold shares of ARMO BioSciences, Inc. (NASDAQ: ARMO), was announced concerning whether the takeover of ARMO BioSciences, Inc. by Eli Lilly and Company for $50.00 per share is unfair to NASDAQ: ARMO stockholders.

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

Redwood City, CA based ARMO BioSciences, Inc., an immuno-oncology company, develops a pipeline of novel product candidates that activate the immune system of cancer patients to recognize and eradicate tumors in the United States. On May 10, 2018, Eli Lilly and Company(NYSE: LLY) and ARMO BioSciences, Inc. (NASDAQ: ARMO) announced an agreement for Lilly to acquire ARMO for $50 per share, or approximately $1.6 billion, in an all-cash transaction. Under the terms of the agreement, , Eli Lilly will promptly commence a tender offer to acquire all shares of ARMO BioSciences for a purchase price of $50 per share in cash, or approximately $1.6 billion.

However, given that at least one analyst has set the high target price for NASDAQ:ARMO shares at $75.00 per share, the investigation concerns whether the offer is unfair to NASDAQ: ARMO stockholders. More specifically, the investigation concerns whether the ARMO BioSciences 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.