Acquisition of Pepco Holdings, Inc. by Exelon Corporation May Not Be in Shareholders' Best Interests -, NewsCenter17, StormCenter17, Central Illinois News-

Acquisition of Pepco Holdings, Inc. by Exelon Corporation May Not Be in Shareholders' Best Interests

Information contained on this page is provided by an independent third-party content provider. WorldNow and this Station make no warranties or representations in connection therewith. If you have any questions or comments about this page please contact

SOURCE Robbins Arroyo LLP

SAN DIEGO and WASHINGTON, April 30, 2014 /PRNewswire/ -- Shareholder rights attorneys at Robbins Arroyo LLP are investigating the proposed acquisition of Pepco Holdings, Inc. (NYSE: POM) by Exelon Corporation (NYSE: EXC).  On April 30, 2014, Pepco and Exelon announced the signing of a definitive merger agreement pursuant to which Pepco shareholders will receive $27.25 in cash for each share of common stock. 

Robbins Arroyo LLP.

Is the Proposed Acquisition Best for Pepco and Its Shareholders?

Robbins Arroyo LLP's investigation focuses on whether the board of directors at Pepco is undertaking a fair process to obtain maximum value and adequately compensate Pepco shareholders.

As an initial matter, the $27.25 merger consideration represents a premium of just 19.6% based on Pepco's closing price of $22.79 on April 29, 2014.  This premium is significantly below the average one day premium of over 25% for comparable transactions in the last three years.  Further, on February 28, 2014, Pepco released its financial results for the fourth quarter and fiscal year 2013, reporting a 70.6% increase in net income from $34 million in the fourth quarter to $58 million for the same period in 2012. In addition, the Pepco's earnings per share for the fourth quarter 2013 increased 53% from $0.15 to $0.23 in the same quarter 2012.  Pepco also announced that in 2013, Pepco Energy Services entered into $66 million in energy efficiency contracts, an increase of $57 million compared 2012.

Given these facts, Robbins Arroyo LLP is examining the Pepco board of directors' decision to sell the company to Exelon.  Pepco shareholders have the option to file a class action lawsuit to ensure the board of directors obtains the best possible price for shareholders and the disclosure of material information.  Pepco shareholders interested in information about their rights and potential remedies can contact attorney Darnell R. Donahue at (800) 350-6003,, or via the shareholder information form on the firm's website.

Robbins Arroyo LLP is a nationally recognized leader in securities litigation and shareholder rights law.  The law firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested.   

Attorney Advertising. Past results do not guarantee a similar outcome.  

Darnell R. Donahue
Robbins Arroyo LLP
(619) 525-3990 or Toll Free (800) 350-6003

Logo -

©2012 PR Newswire. All Rights Reserved.

Powered by WorldNow

904 South Side Drive
Decatur, IL 62521
Primary Phone: 217-424-2500
Primary Email:

All content © Copyright 2000 - 2014, WorldNow and WAND. All Rights Reserved. For more information on this site, please read our Privacy Policy and Terms