We are investigating the fairness of the proposed sale of Universal Stainless & Alloy Products (Nasdaq: USAP) (“Universal”) to Aperam for $45.00 per share in cash.
Several Universal shareholders on Seeking Alpha have expressed extreme disappointment in the sale price, as detailed below.
If you remain a Universal shareholder and question the fairness of the price, you may contact our firm to discuss your legal rights at no charge by completing and submitting the form below.
Why is there an investigation?
On October 17, 2024, Universal announced that it had agreed to be sold to Aperam for $45.00 per share in cash.
Notably, several Universal shareholders have complained on the Seeking Alpha website that the price is too low, including:
- a shareholder with the username “Invest_2020” who opined: “USAP was sold for much less than its potential”
- a shareholder with the username “littlerico” who remarked: “shocked when I saw the news. Cannot understand why the low valuation. There are several years of very strong growth ahead once Ba starts producing planes again,” and
- a shareholder with the username “abh3vt” who commented: “Will be interesting to see the argument in the proxy statement that this was fair value when all the best comp companies in USAP’s industry trade at FAR higher forward and trailing multiples. They left a LOT on the table agreeing to be bought out at 45/sh.”
- a shareholder with the username “pnin” who exclaimed: “This one goes into the ‘Most Unimpressive Accepted Buyout Offer HALL OF FAME’!!!”
“We are investigating whether the Universal Board of Directors acted in the best interests of Universal shareholders in approving the sale,” explained Joshua Fruchter, a founding partner of Wohl & Fruchter. “This includes whether the price agreed upon is fair to Universal shareholders, as well as whether all material information regarding the transaction has been fully disclosed.”