Cbeyond-Birch Communications Deal Faces Investigations
Telecom service provider Birch Communications this week said it planned to acquire national managed services provider Cbeyond for $323 million. But the deal immediately came under fire from a shareholder rights firm, Johnson & Weaver, which began an investigation into whether the acquisition was undervalued and whether alternatives were properly considered.
Three other law firms also said they planned to closely scrutinize the deal. Cbeyond shareholders would receive between $9.97 and $10.00 per share under the acquisition agreement.