Shareholder attempts to block Teavana takeover
The Shareholders Foundation, an investment portfolio-monitoring firm, announced a lawsuit that seeks to block Starbucks' takeover of specialty tea retailer Teavana. The lawsuit is filed by an investor in Teavana and aims to halt a major deal that was struck just days ago. On November 14, Starbucks announced that it has agreed to purchase Teavana for $620 million or $15.50 per share in an all-cash transaction. But based on previous share price of above $20 and a target price of $24 issued by one analyst, the plaintiff claims that the purchase price is unfair to shareholders and undervalues the company. According to the same plaintiff, the sale process has also been unfair to Teavana's investors.