Investigation announced for Investors in IAA, Inc. (NYSE: IAA) over Takeover by Ritchie Bros. Auctioneers Incorporated

An investigation was announced for investors, who currently hold shares of IAA, Inc. (NYSE: IAA), concerning whether the takeover of Westchester, IL based IAA, Inc. by Ritchie Bros. Auctioneers Incorporated is unfair to NYSE: IAA stockholders.

Investors who purchased shares of IAA, Inc. (NYSE: IAA) and currently hold any of those NYSE: IAA shares have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

The investigation by a law firm concerns whether certain officers and directors of IAA, Inc. breached their fiduciary duties owed to NYSE: IAA investors in connection with the proposed acquisition.

On November 7, 2022, Ritchie Bros. Auctioneers Incorporated (NYSE: RBA) (TSX: RBA), and IAA, Inc. (NYSE: IAA) announced that they have entered into an agreement under which Ritchie Bros. will acquire IAA in a stock and cash transaction valued at approximately $7.3 billion including the assumption of $1.0 billion of net debt.

Under the terms of the merger agreement, IAA stockholders will receive $10.00 in cash and 0.5804 shares of Ritchie Bros. common stock for each share of IAA common stock they own.
Based on a closing price of $62.32 per share on November 4, 2022, investors in NYSE: IAA shares will receive a value of approximately $46.17 per NYSE: IAA share.

However, given that NYSE: RBA shares have since the takeover announcement declined to $55.18 per share on December 15, 2022, investors in NYSE: IAA would under those adjusted prices receive a value of approximately $42.03 per NYSE: IAA share.

Additionally, given that NYSE: IAA shares traded in the open market as high as $66.85 per share in early 2021 and that at least one analyst has set the high target price for NYSE: IAA shares at $55.00 per share, the investigation concerns whether the offer is unfair to: IAA stockholders. More specifically, the investigation concerns whether the IAA, Inc. Board of Directors undertook an adequate sales process, adequately shopped the company before entering into the transaction, maximized shareholder value by negotiating the best price, and acted in the shareholders' best interests in connection with the proposed sale.

IAA, Inc. reported that its annual Total Revenue rose from over $1.38 billion in 2020 to over $1.83 billion in 2021, and that its Net Income increased from $194.8 million in 2020 to $294.4 million in 2021.

Those who are current investors in IAA, Inc. (NYSE: IAA) shares have certain options and should contact the Shareholders Foundation.

Contact:
Michael Daniels
Shareholders Foundation, Inc.
3111 Camino Del Rio North
Suite 423
San Diego, CA 92108
Tel: +1-(858)-779-1554
E-Mail: mail@shareholdersfoundation.com

About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, and an investor advocacy group, which does research related to shareholder issues and informs investors of securities lawsuits, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigations, and/or settlements are not filed/initiated/reached and/or are not related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.

This release was published on openPR.