An investigation on behalf of current investors NYMAGIC, Inc. (NYSE:NYM) over possible breaches of fiduciary duty by certain members of the NYMAGIC board of directors in connection with the takeover attempt by ProSight Specialty Insurance Holdings, Inc was announced.

NYMAGIC, Inc., located New York, is a holding company, which owns and operates insurance companies, risk bearing entities and insurance underwriters and managers. NYMAGIC, Inc. reported in 2007 Total Revenue of $190.44million, in 2008 $56.18million, and in 2009 $217.50million.

On Thursday, July 15, 2010, NYMAGIC, Inc. (NYSE: NYM) announced that it has entered into a agreement to be acquired by ProSight Specialty Insurance Holdings, Inc. for $25.75 per share in cash. According to NYMAGIC, Inc. the offer represents a premium of 23.5% to NYMAGICs closing price yesterday of $20.85.

The investigation by a law firm concerns whether the NYMAGIC, Inc. Board of Directors breached their fiduciary to NYMAGIC, Inc. (NYSE:NYM) stockholders by failing to adequately shop the Company prior to supporting the agreement, whether the Board of Directors breached their fiduciary duties by not seeking a deal that would provide better NYMAGIC, Inc. (NYSE:NYM), and whether ProSight Specialty Insurance Holdings, Inc is underpaying NYMAGIC, Inc. (NYSE:NYM), thus unlawfully harming NYM stockholders.

Shares of NYMAGIC, Inc. (NYMAGIC) traded almost $22 per share and climbed in response to the announcement to its 52week High of $25.56 per share. NYMAGIC traded in 2008 at almost $28 per share and at almost $45 per share in 2007.