ARC Document Solutions, Inc. Get a No-Binding “Go Confidential” Offer Through Investing.com
SAN RAMON, CA / ACCESSWIRE / July 2, 2024 / A Special Committee of the Board of Directors of ARC Document Solutions, Inc. (the “Company”) (NYSE:ARC), a leading provider of digital printing and document-related services, announced that it received a non-binding offer in April. 8, 2024 from the Company’s Chairman and Chief Executive Officer, Kumarakulasingam Suriyakumar, explaining Mr. Suriyakumar to assess and evaluate the possible acquisition of all the remaining shares of the Company in the absence of Mr. Suriyakumar already in a private transaction at a purchase price of $3.25 per share in cash (the “Proposed Transaction”). On June 27, 2024, Mr. Suriyakumar, Dilantha Wijesuriya, Company President and Chief Operating Officer, Jorge Avalos, Company Chief Financial Officer, Rahul Roy, Company Chief Technology Officer, Sujeewa Sean Pathiratne, private investor, and certain organizations. those parties (collectively, the “Acquisition Party”) agree in principle to cooperate to negotiate and complete the Proposed Transaction. A copy of Mr. Suriyakumar is attached to a Schedule 13D filed by the Acquisition Group with the United States Securities and Exchange Commission on June 28, 2024. The Acquisition Group currently beneficially owns approximately 19.6% of the Company’s outstanding shares of common stock, at $0.001 per share.
In response to this proposal, on April 8, 2024, a special committee of the Company’s board of directors composed of independent, disinterested directors (the “Special Committee”) was established to review and evaluate the Proposed Transaction. The Special Committee has retained William Blair & Company, LLC to provide financial advice and K&L Gates LLP as legal counsel to assist in its ongoing review and evaluation of the Proposed Transaction and the Company’s strategic alternatives. Wilmer Cutler Pickering Hale & Dorr acted as legal counsel to the Company.
The Special Committee intends to carefully consider the Proposed Transaction with the assistance of its independent financial and legal advisors. No assurances can be given as to the terms and details of any transaction, that any proposal made by the Acquisition Group regarding the proposed transaction will be accepted by the Special Committee, that definitive documentation relating to any transaction will be executed, or that the transaction will consummate. will be terminated in accordance with those documents, if any.
The Company and the Special Committee do not intend to comment or disclose any further developments regarding the Special Committee’s consideration of this proposal unless it determines that further disclosure is appropriate or necessary. Shareholders of the Company are advised not to take any action at this time.
About ARC Document Solutions (NYSE: ARC)
ARC partners with top brands around the world to tell their stories through visual imagery. We use advanced digital printing technology, sustainable materials, and innovative methods to bring their vision to life. ARC also provides other digital printing and scanning services to a variety of industries throughout North America and select markets around the world. Follow ARC at www.e-arc.com.
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements based on current opinions and management’s assumptions about future events. Words and phrases such as, “will,” “intends,” and similar expressions identify forward-looking statements and all statements other than statements of historical fact, including, but not limited to, any expectations of the Company regarding the Proposed Transaction, terms. and conditions of the Proposed Transaction, and the actions of the Special Committee with respect thereto, including the consideration of all possible strategic options to increase stockholder value, may be considered forward-looking statements. We caution you that such statements are only predictions and are subject to certain risks and uncertainties that could cause actual results to differ materially from those contained in the forward-looking statements. In addition to matters affecting construction, managed printing services, digital printing industries, or the economy in general, factors that could cause actual results to differ from those expected in forward-looking statements include, among others, the factors described in the section entitled ” Part I – Item 1A. Risk Factors” of the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023 and future filings and reports made by the Company from time to time with the SEC. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law.
Contact person:
David Stickney
VP Corporate Communications & Investor Relations
925-949-5114
SOURCE: ARC Document Solutions
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