Faruqi & Faruqi, LLP Announces Filing of a Class Action Lawsuit Against Colony Capital, Inc.
Notice is hereby given that Faruqi & Faruqi, LLP has filed a class action lawsuit in the United States District Court for the District of Maryland, case no. 1:16-cv-03282, on behalf of shareholders of Colony Capital, Inc. (“Colony” or the “Company”) (NYSE:CLNY) who are being harmed by Colony’s and its board of directors’ (the “Board”) alleged violations of Sections 14(a) and 20(a) of the Securities Exchange Act of 1934 (the “Exchange Act”) and Securities and Exchange Commission (“SEC”) Rule 14a-9 in connection with the proposed merger of the Company with NorthStar Asset Management Group Inc. (“NSAM”), and NorthStar Realty Finance Corp. (“NRF” and together with NSAM,“NorthStar”).
On June 2, 2016, the Company announced it had entered into an Agreement and Plan of Merger (“Merger Agreement”) under which Colony and the NorthStar companies will conduct an all-stock merger of equals (the “Proposed Transaction”). The shareholder vote on the Proposed Transaction is expected to occur prior to the end of 2016.
Pursuant to the terms of the Merger Agreement, which was unanimously approved by the Board, Colony class A and class B common stockholders stand to receive 1.4663 shares of their respective class of stock in the post-merger combined company, Colony NorthStar, Inc. Colony stockholders are expected to own approximately 32.85% of the combined company. The complaint claims that this offer is inadequate in light of the Company’s recent financial performance and strong growth prospects, and that the joint proxy statement/prospectus filed with the SEC provides materially incomplete and misleading information about the Company and the Proposed Transaction, in violation of Sections 14(a) and 20(a) of the Exchange Act. The Proxy fails to provide Colony’s shareholders with material information concerning the financial and procedural fairness of the Proposed Transaction.
Plaintiff is represented by Faruqi & Faruqi, LLP, a law firm with extensive experience in prosecuting class actions, and significant expertise in actions involving corporate fraud. Faruqi & Faruqi, LLP, was founded in 1995 and the firm maintains its principal office in New York City, with offices in Delaware, California, and Pennsylvania.
If you wish to serve as lead plaintiff, you must move the Court no later than 60 days from today. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. If you wish to discuss this action, or have any questions concerning this notice or your rights or interests, please contact Nadeem Faruqi, Esq. either via e-mail at firstname.lastname@example.org or by telephone at (877) 247-4292 or (212) 983-9330 or James M. Wilson, Jr., Esq. at email@example.com.
Please tell us about yourself by completing the form below and we will provide you with additional
information at no cost to you on how to join the Class Action.
* The submission of this form does not create an attorney-client relationship.
James M. Wilson, Jr.
Faruqi & Faruqi, LLP
685 Third Avenue 26th Floor
New York, NY 10017
Tel: (212) 983-9330
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