After the announcement by SMART Modular Technologies (WWH), Inc. that it agreed to be acquired by Silver Lake Partners and Silver Lake Sumeru an investigation on behalf of investors of SMART Modular Technologies (WWH), Inc. (NASDAQ:SMOD) over possible breaches of fiduciary duty was announced.

The investigation by a law firm concerns whether certain directors and officers at SMART Modular Technologies (WWH), Inc. or others breached their fiduciary duties in connection the proposed merger.

On Tuesday, April 26, 2011, SMART Modular Technologies (WWH), Inc. (NASDAQ: SMOD) announced that it has entered into an agreement to be acquired by Silver Lake Partners and Silver Lake Sumeru for $9.25 per share in cash. The transaction is valued at approximately $645 million.

SMART Modular Technologies (WWH), Inc. said the offer price represents a 23% premium over the average closing price for the previous 30 trading days and a 46% premium over the average closing price for the previous 52-week period.

Following the takeover announcement SMOD shares increased from $8.17 on April 25 to $9.20 on April 26. However, SMOD shares traded on April 8, 2011 as high as $8.87 per share, leaving SMART Modular Technologies stockholders with only a meager premium. Additionally at least one analyst placed a target price for SMART stock at $11.00 per share. Furthermore,SMART Modular Technologies has performed well for its investors in the past. SMART Modular Technologies 52weeks Total Revenue increased from $441.32million reported on Aug 28, 2009 to $703.09million reported on Aug 27, 2010. SMART Modular Technologies was able to pull out of a Net Loss of $11.40million and report on August 27, 2010 a Net Income of $52.57million.

Therefore the investigation concerns whether the SMART Modular Technologies (WWH) Board of Directors undertook an adequate and fair sales process to obtain fair consideration for all shareholders SMART Modular Technologies (WWH), Inc. (NASDAQ:SMOD) and breached their fiduciary duties to SMART Modular Technologies (SMOD) shareholder by failing to adequately shop the Company before entering into any transaction. The investigation concerns also whether Silver Lake Partners and Silver Lake Sumeru would underpay for NASDAQ:SMOD shares, thus unlawfully harming SMOD stockholders. A potential class action lawsuit would seek to maximize the amount of money and information SMART Modular Technologies (WWH), Inc. shareholders would receive in a buyout, so the law firm.