San Diego, Feb. 21, 2012 (Shareholders Foundation) -- An investigation for investors CH Energy Group (NYSE:CHG) shares concerning whether the takeover offer by Fortis Inc to acquire CH Energy Group Inc. for $65 per shares and the buyout process are unfair to investors in NYSE:CHG shares.

The investigation by a law firm concerns, among other things, whether the CH Energy Group Board of Directors undertook an adequate sales process and in particular breached their fiduciary duties to CH Energy Group (NYSE:CHG) shareholders by failing to adequately shop the Company before entering into the transaction.

On Tuesday, February 21, 2012, CH Energy Group, Inc. (NYSE:CHG) announced that it has entered into a merger agreement with Fortis Inc., (TSX:FTS), under which Fortis will acquire CH Energy Group for an aggregate purchase price of approximately U.S. $1.5 billion, including the assumption of approximately U.S. $500 million of debt.

Under the terms of the proposed transaction shareholders of CH Energy Group, Inc. will receive U.S. $65 for each share of the company they own.

CH Energy Group, Inc said the offer represents a 10.5% percent premium above CH Energy Groups closing stock price on February 17, 2012, the last trading day before the announcement; a premium of 13.1 percent above its most recent 20-day trading average of $57.49; and approximately 10.4 times its 2011 EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization).

However, following the takeover news shares of CH Energy Group (NYSE:CHG) jumped from $58.77 per share on Friday to as high as $66.41 per share during Tuesday, February 21, 2012, thus exceeding the current offer.

Additionally, at least one analyst has set the high target price for NYSE:CHG shares at $69 per share.

Furthermore, CH Energy Groups performance increased over the past recent years. It reported that its annual Revenue rose from $960.11million in 2009 to $985.52million in 2010 and its Net Income increased over the same time periods from $39.47million to $46.31million. While CH Energy Group reported that its third quarter Revenue in 2011 declined slightly from 2010 its third quarter Net Income increased from $9.77million in 2010 to $14.89million in 2011.

Therefore, a potential securities class action lawsuit would seek to maximize the amount of money and information NYSE:CHG shareholders would receive in a buyout, so the law firm.