An investor in SonicWall filed a lawsuit on behalf of current investors of SonicWALL, Inc. (NASDAQ:SNWL) alleging breaches of fiduciary duty by the SonicWALL board of directors for selling SonicWALL too cheaply to an investor group led by Thoma Bravo, LLC.
SonicWALL, Inc., located in Sunnyvale, California, is engaged in designing, developing, manufacturing, and selling network security, content security, and business continuity solutions for businesses of various sizes.

On Thursday, June 03, 2010, SonicWALL, Inc. (Nasdaq: SNWL) announced it has entered into a definitive agreement to be acquired by an investor group led by Thoma Bravo, LLC in a transaction valued at approximately $717 million. Under the terms of the agreement, SonicWALL shareholders will receive $11.50 in cash for each share of SonicWALL common stock they hold. According to SonicWALL its board of Directors unanimously approved the agreement and the offer represents a premium of approximately 28% over its most recent closing price, and approximately a 63% premium over its enterprise value.

According to the complaint the plaintiff alleges breaches of fiduciary duty by the Board of Directors of SonicWALL, Inc. arising out of their attempt to sell SonicWALL, Inc. (NASDAQ:SNWL) to investor group led by Thoma Bravo, LLC. through an unfair process for an unfair price.

Shares of SonicWALL, Inc. (NASDAQ:SNWL) traded after the announcement at $11.31 per share, and at $9.30 per share days before the news. But at least one analyst set a price target for SonicWALL stock at $13.00 per share and the median price target set by analysts is $12.00 per share. SonicWALL, Inc. (Public, NASDAQ:SNWL) reported in 2007 Total Revenue of $199.20million, in 2008 $218.64million, and in 2009 $200.57million.