An investor, who currently holds shares of Inventure Foods Inc (NASDAQ:SNAK), filed a lawsuit in effort to halt the proposed takeover of Inventure Foods Inc. by Utz Quality Foods, LLC.
The plaintiff alleges that the defendants breached their fiduciary duties owed to NASDAQ:SNAK stockholders by agreeing to sell Inventure Foods Inc cheaply via an unfair process to Utz Quality Foods, LLC.

On October 26, 2017, Inventure Foods Inc (NASDAQ:SNAK) and Utz Quality Foods, LLC announced they entered into a merger agreement pursuant to which Utz Quality Foods, LLC has agreed to acquire all of the Company's outstanding shares of common stock in an all-cash transaction. Under the terms of the merger agreement, an indirect subsidiary of Utz Quality Foods, LLC will commence a tender offer to acquire all of the outstanding shares of the Company's common stock at a price of $4.00 per share in cash, for a total purchase price of approximately $165 million, including the assumption of approximately $75 million of debt and debt-like items, net of cash, approximately $8 million of the Company's estimated closing costs and approximately $3 million due to equity award holders.

However, plaintiff claims that the proposed consideration NASDAQ:SNAK shareholders will receive is grossly inadequate and undervalues Inventure Foods Inc . Indeed, at least one analyst has set the high price target of NASDAQ:SNAK shares at $10.00 per share and NASDAQ:SNAK shares traded as early as October 11, 2107 in the open market as high as $5.32 per share. In addition, the plaintiff alleges that the process is also unfair NASDAQ:SNAK stockholders.