Cogent, Inc. takeover by 3M under investor investigation

After 3M announced its intent to takeover Cogent, Inc. an investigation on behalf of investors of Cogent, Inc. (NASDAQ:COGT) concerning possible breaches of fiduciary duty was announced.

If you are a current investor in Cogent, Inc. (NASDAQ:COGT), and/or have information relating the investigation, you have certain options and you should contact the Shareholders Foundation, Inc by email mail@shareholdersfoundation.com or call +1(858) 779 – 1554.

Cogent, Inc., located in South Pasadena, California, is a provider of automated fingerprint identification systems (AFIS) and other fingerprint biometrics solutions to governments, law enforcement agencies and other organizations worldwide. On Monday, August 30, 2010, 3M and Cogent announced that 3M will acquire Cogent pursuant to an all cash offer. Under the terms of the agreement, Cogent stockholders will receive cash of $10.50 in exchange for each share of Cogent common stock. The proposed transaction has an aggregate value of approximately $943 million, or approximately $430 million net of cash acquired.


But shares of Cogent, Inc. (NASDAQ: COGT) jumped in response to the takeover news above the offer to over $11 per share and traded ss early as May 2010 COGT shares at the current offer price of $10.50 per share, on April 26, 2010 above the offer at $10.61 per share, and in January even at $11.29 per share. During 2008 COGT shares reached almost $14 per share. During 2007 COGT shares traded over $15 per share, and during 2004 and 2005 above $30 per share. At least one analyst set a price target at $16.00 per share.

The investigation by a law firm “concerns whether 3M, as well as the directors of Cogent, Inc. breach their fiduciary duties by not acting in Cogent, Inc. (NASDAQ:COGT) shareholders' best interests in connection with a takeover process of Cogent, whether the Cogent Board of Directors breach their fiduciary duty to Cogent (NASDAQ:COGT) stockholders by failing to adequately shop the Company prior to entering into any agreement, whether the Board of Directors will breach their fiduciary duties by not seeking a deal that will provide better value for Cogent, Inc. (NASDAQ:COGT), and whether 3M is underpaying for Cogent, Inc. (COGT), thus unlawfully harming COGT stockholders.”

Those who are current investors in Cogent, Inc. (Public, NASDAQ:COGT), and/or have information relating the investigation, have certain options and should contact the Shareholders Foundation, Inc by email mail@shareholdersfoundation.com or call +1(858) 779 – 1554.

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