Yodlee Inc (NASDAQ:YDLE) Investor Filed Lawsuit Over Alleged Wrogndoing In Acquisition By Envestnet

If you purchased shares of Yodlee Inc (NASDAQ:YDLE) and currently hold any of those NASDAQ:YDLE 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): 
Case Name: 
Yodlee Deal Case 10/19/2015
Case Status: 
Lawsuit Filed
Affected Securities
Lawsuit Overview
Type of Lawsuit: 
Mergers and Acquisition
Date Filed: 

October 21, 2015 (Shareholders Foundation) - An investor who currently holds shares of Yodlee Inc (NASDAQ:YDLE), filed a lawsuit in effort to halt the proposed takeover of Yodlee Inc by Envestnet, Inc.

The plaintiff alleges that the defendants breached their fiduciary duties owed to NASDAQ:YDLE stockholders by agreeing to sell Yodlee Inc. too cheaply via an unfair process to Envestnet, Inc.

On August 10, 2015, Envestnet, Inc. (NYSE:ENV) and Yodlee Inc (NASDAQ:YDLE) announced that the Boards of Directors of both companies have unanimously approved an agreement under which Envestnet will acquire all of the shares of Yodlee in a cash and stock transaction valued at$18.88 per share, or approximately $660 million on a fully-diluted equity value basis.

However, the plaintiff claims that the proposed consideration NASDAQ:YDLE shareholders will receive is grossly inadequate and undervalues Yodlee Inc. Indeed, at least one analyst has set the high target price for NASDAQ:YDLE shares at $19.00 per share. Yodlee Inc reported that its annual Total Revenue rose from $54.43 million in 2011 to $89.08 million in 2014.

In addition, the plaintiff claims that the process is also unfair to NASDAQ:YDLE stockholders. Indeed, in connection with the agreement, certain funds affiliated with Warburg Pincus, which collectively own approximately 26.9 percent of Yodlee's common stock, have already entered into a voting agreement pursuant to which it has committed to support the transaction,.