Barracuda Networks Inc (NYSE:CUDA) Investor Lawsuit Filed Over Alleged Wrongdoing In Acquisition

If you purchased shares of Barracuda Networks Inc (NYSE:CUDA) and currently hold any of those NYSE:CUDA shares, you have certain options and you should contact the Shareholders Foundation, Inc.

To have your information reviewed for options and to recieve notifications about this case, please use this form. You may also send an email to mail@shareholdersfoundation.com, or call us at (858) 779-1554.
Company Name(s): 
Barracuda Networks
Case Name: 
Barracuda Networks Deal Case 02/08/2018
Case Status: 
Lawsuit Filed
Affected Securities
NYSE: CUDA
Lawsuit Overview
Type of Lawsuit: 
Mergers and Acquisition
Date Filed: 
02/08/2018
Summary: 

An investor, who currently holds shares of Barracuda Networks Inc (NYSE:CUDA), filed a lawsuit in effort to halt the proposed takeover of Barracuda Networks Inc by Thoma Bravo, LLCis unfair to NYSE:CUDA stockholders.

The plaintiff alleges that the defendants breached their fiduciary duties owed to NYSE:CUDA stockholders by agreeing to sell Barracuda Networks Inc cheaply via an unfair process to Thoma Bravo, LLC.

On November 27, 2017, Barracuda Networks, Inc. (NYSE: CUDA), a leading provider of cloud-enabled security and data protection solutions, today announced that it has entered into an agreement to be acquired by leading private equity investment firm Thoma Bravo, LLC. in an all-cash transaction valued at $1.6 billion. Barracuda shareholders of record will receive $27.55 in cash for each share of Barracuda common stock they hold.

However, plaintiff claims that the proposed consideration NYSE:CUDA shareholders will receive is grossly inadequate and undervalues Barracuda Networks, Inc. Indeed, at least one analyst has set the high price target for NYSE:CUDA at $32.00 per share. Barracuda Networks Inc reported that its Total Revenue rose from $320.16 million for the 12 months period that ended on February 29, 2016 to $352.65 million fr the 12 months period that ended on February 28, 2017 and that its Net Loss of $4.42 million turned into a Net Income of $10.32 million over those respective time periods. Shares of Barracuda Networks Inc (NYSE:CUDA) reached in 2015 as high as $46.12 per share. In addition, the plaintiff alleges that the process is also unfair NYSE:CUDA stockholders.