July 16, 2013 (Shareholders Foundation) - An investor, who currently holds Leap Wireless International, Inc. (NASDAQ:LEAP) shares, filed a lawsuit in effort to halt the takeover of Leap Wireless International, Inc. by AT&T Inc. for $15.00 per NASDAQ:LEAP share.
The plaintiff alleges that the defendants breached their fiduciary duties owed to NASDAQ:LEAP stockholders by agreeing to sell the company too cheaply via an unfair process.

On July 12, 2013, AT&T Inc. (NYSE:T) and Leap Wireless International Inc. (NASDAQ:LEAP) announced that they have entered into an agreement for AT&T to acquire Leap Wireless International for $15 per share in cash.

However, the plaintiff alleges that the offer is too low and undervalues the company considering Leap Wireless International’s prospects for growth and revenues. Indeed, following the takeover news shares of Leap Wireless International jumped to as high as $17.39 per share on July 16, 2013, thus above the current offer. In addition, Leap Wireless International’s performance improved lately. For instance, it reported that its annual Total Revenue rose from over $2.69 billion in 2010 to over $3.14 billion in 2012 and that its respective Net Loss declined from $871.95 million to $189.29 million.

Furthermore, the plaintiff claims that the process is also unfair to NASDAQ:LEAP investors. Indeed, owners of approximately 29.8% of Leap's outstanding shares have already entered into an agreement to vote in favor of the transaction.

On July 16, 2013, NASDAQ:LEAP shares closed at $17.27 per share.