Investigation Overview
June 15, 2017 (Shareholders Foundation) - An investigation on behalf of investors, who currently hold shares of DuPont Fabros Technology, Inc. (NYSE:DFT), was announced concerning whether the takeover of DuPont Fabros Technology, Inc. by Digital Realty for a value of approximately $63.63 per share is unfair to NYSE:DFT stockholders.
The investigation by a law firm concerns whether certain officers and directors of DuPont Fabros Technology, Inc. breached their fiduciary duties owed to NYSE:DFT investors in connection with the proposed acquisition.
On June 9, 2017, Digital Realty (NYSE: DLR) and DuPont Fabros Technology, Inc. (NYSE:DFT) announce they have entered into an agreement under which DuPont Fabros Technology, Inc. (NYSE:DFT) will merge with Digital Realty in an all-stock transaction. Under the terms of the agreement, DuPont Fabros Technology, Inc. (NYSE:DFT) shareholders will receive a fixed exchange ratio of 0.545 Digital Realty shares per DuPont Fabros Technology, Inc. (NYSE:DFT) share, for a transaction valued at approximately $7.6 billion in enterprise value. Based June 8, 2017, closing prices, that values DuPont Fabros Technology, Inc. (NYSE:DFT) shares at $63.63 each.
However, the investigation concerns whether the offer is unfair to DuPont Fabros Technology, Inc. (NYSE:DFT stockholders. More specifically, the investigation concerns whether the DuPont Fabros Technology, Inc. (NYSE:DFT 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.
DuPont Fabros Technology, Inc. reported that its annual Total Revenue rose from $452.40 million in 2015 to $528.70 million in 2016 and that its Net Income increased from $1.91 million in 2015 to $157.20 million in 2016.