Rigrodsky & Long, P.A. Investigates Virage Logic
Thursday June 10, 2010 - 15:15 PM EDT
Source: Business Wire News Releases
Author: Rigrodsky & Long, P.A.
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Rigrodsky & Long, P.A. announces that it is investigating potential claims against the board of directors of
Virage Logic Corporation ("Virage Logic" or the "Company") (Nasdaq: VIRL) concerning possible breaches
of fiduciary duty and other violations of law related to the Company's entry into an agreement to be acquired
by Synopsys, Inc. ("Synopsys") (Nasdaq: SNPS) in a transaction valued at approximately $315 million, or
approximately $289 million net of cash acquired.
Under the proposed agreement, Virage Logic shareholders will receive $12.00 in cash for each share of
Virage Logic common stock they hold. The investigation concerns whether Virage Logic's board of directors
failed to adequately shop the Company and obtain the best price possible for Virage Logic shareholders before
entering into the agreement with Synopsys.
As recent as May 5, 2010, Virage Logic announced its second quarter fiscal 2010 financial results wherein
Company President and CEO, Alex Shubat, commented: "During the past several years, we've focused on all
those corporate efforts necessary for building out our IP product portfolio through new product development
as well as selective acquisitions. The positive results of these efforts were made apparent in our first quarter of
fiscal 2010, when we achieved a record $21.7 million in revenue. Now, for the second quarter of fiscal 2010,
we are posting another record revenue of $25.2 million. This revenue number represents a 17% quarter over
quarter growth, and a 129% year over year increase." Dr. Shubat concluded that "[f]or the third quarter fiscal
2010, we are projecting revenues of $26.0 million to $27.0 million and non-GAAP EPS results of $0.10 to
$0.13 per share. Included in this forecast is an estimate of $0.01 from our Strategic Outsourcing business,
acquired from NXP in mid-first quarter fiscal 2010. We had previously forecasted that this Strategic
Outsourcing business would not contribute positively to our corporate EPS until fourth quarter fiscal 2010."
Indeed, according to Yahoo! Finance, at least one analyst has set a price target of $15.85 per share.
If you own the common stock of Virage Logic and purchased your shares before June 10, 2010, if you have
information or would like to learn more about these claims, or if you wish to discuss these matters or have any
questions concerning this announcement or your rights or interests with respect to these matters, please
contact Seth D. Rigrodsky, Esquire or Noah R. Wortman, Case Development Director, of Rigrodsky & Long,
P.A., 919 N. Market Street, Suite 980, Wilmington, Delaware, by telephone at (888) 969-4242, or by e-mail to
Rigrodsky & Long, P.A., with offices in Wilmington, Delaware and Garden City, New York, regularly
litigates securities class, derivative and direct actions, shareholder rights litigation and corporate governance
litigation, including claims for breach of fiduciary duty and proxy violations in the Delaware Court of
Chancery and in state and federal courts throughout the United States.
Attorney advertising. Prior results do not guarantee a similar outcome.
Rigrodsky & Long, P.A.
Seth D. Rigrodsky, Esquire
Noah R. Wortman, Case Development Director
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