May 8, 2014 (Shareholders Foundation) - An investor, who currently holds shares of Furiex Pharmaceuticals Inc (NASDAQ:FURX) filed a lawsuit in effort to halt the takeover of Furiex Pharmaceuticals by Forest Laboratories, Inc.
The plaintiff alleges that the defendants breached their fiduciary duties owed to NASDAQ:FURX stockholders by agreeing to sell Furiex Pharmaceuticals Inc too cheaply via an unfair process to Forest Laboratories, Inc.

On April 28, 2014, Forest Laboratories, Inc. (NYSE:FRX) and Furiex Pharmaceuticals, Inc. (NASDAQ: FURX) announced that Forest Laboratories, Inc has entered into an agreement to acquire Furiex Pharmaceuticals, Inc. for $95 per share, or approximately $1.1 billion in cash, and up to $30 per share (approximately $360 million in aggregate) in a Contingent Value Right (CVR) that may be payable based on the status of eluxadoline, Furiex Pharmaceuticals, Inc.'s lead product, as a controlled drug following approval.

Howerver, the plaintiff claims that the offer is too low and undervalues Furiex Pharmaceuticals, Inc. Indeed, at least one analyst has set the high target price for NASDAQ:FURX shares at $140.00 per share. Furthermore, Furiex Pharmaceuticals Inc reported that its annual Total Revenue rose from $4.49 million in 2011 to $71 million in 2013 and that its respective Net Loss declined from $48.98 million to $29.67 million.Shares of Furiex Pharmaceuticals Inc (NASDAQ:FURX) grew from $9.80 per share in August 2010 to as high as $113.55 per share in February 2014.

On May 8, 2014, NASDAQ:FURX shares closed at $104.79 per share.