Law Firm Brower Piven Announces Investigation of Medco Health Solutions, Inc.

STEVENSON, Md.--(BUSINESS WIRE)--The law firm of Brower Piven, A Professional Corporation, has commenced an investigation into possible breaches of fiduciary duty to current shareholders of Medco Health Solutions, Inc. (“Medco”) (NYSE: MHS) and other violations of state law by the Board of Directors of Medco relating to the proposed acquisition of the company by Express Scripts, Inc. (“Express Scripts”) (Nasdaq: ESRX). The firm’s investigation seeks to determine whether Medco’s Board breached their fiduciary duties by, among other things, failing to maximize shareholder value.

On July 20, 2011, Medco and Express Scripts jointly announced that they have entered into a definitive merger agreement for Express Scripts to acquire the outstanding shares of Medco for $71.36 per share in cash and stock, or $29.1 billion, based on the previous day’s closing price. According to the press release, Medco shareholders will receive $28.80 in cash and 0.81 shares for each Medco share they own upon closing of the transaction. While the press release states that the merger price represents a premium to Medco shareholders of 28 percent over Medco’s closing share price on July 20, 2011, at least one analyst recently setting a target price of $73.00 per share. Indeed, on the same day of the merger announcement, Medco announced “strong performance,” “record revenues,” and confidence in “expected GAAP diluted earnings per share growth of 14 to 17 percent for the full year.”

If you own Medco common stock and would like to learn more about the investigation being conducted by Brower Piven, you may email or call Brower Piven, who will, without obligation or cost to you, attempt to answer your questions. You may contact Brower Piven by email at hoffman@browerpiven.com, by calling 410/415-6616, or at Brower Piven, A Professional Corporation, 1925 Old Valley Road, Stevenson, Maryland 21153. Attorneys at Brower Piven have combined experience litigating securities and other class action cases of over 60 years.