Robbins Arroyo LLP: Acquisition of Silicon Graphics International Corp. (SGI) by Hewlett Packard Enterprise Company (HPE) May Not Be in Shareholders' Best Interests

Shareholder rights attorneys at Robbins Arroyo LLP are investigating the proposed acquisition of Silicon Graphics International Corp. (NASDAQ: SGI) by Hewlett Packard Enterprise Company (NYSE: HPE). On August 11, 2016, the two companies announced the signing of a definitive merger agreement pursuant to which Hewlett Packard will acquire Silicon Graphics. Under the terms of the agreement, Silicon Graphics shareholders will receive $7.75 for each share of Silicon Graphics common stock.

View this information on the law firm's Shareholder Rights Blog: www.robbinsarroyo.com/shareholders-rights-blog/silicon-graphics-international-corp

Is the Proposed Acquisition Best for Silicon Graphics and Its Shareholders?

Robbins Arroyo LLP's investigation focuses on whether the board of directors at Silicon Graphics is undertaking a fair process to obtain maximum value and adequately compensate its shareholders.

As an initial matter, the $7.75 merger consideration represents a premium of only 40.90% based on Silicon Graphics' closing price on August 10, 2016. This premium is significantly below the average one day premium of nearly 97.54% for comparable transactions within the past three years. Further, the $7.75 merger consideration is significantly below the target price of $8.50 set by an analyst at D.A. Davidson & Co. on April 28, 2016. In the last three years, Silicon Graphics traded as high as $16.60 on October 10, 2013, and most recently traded above the merger consideration – at $7.79 – on January 27, 2016.

Silicon Graphics shareholders have the option to file a class action lawsuit to ensure the board of directors obtains the best possible price for shareholders and the disclosure of material information. Silicon Graphics shareholders interested in information about their rights and potential remedies can contact attorney Darnell R. Donahue at (800) 350-6003, ddonahue@robbinsarroyo.com, or via the shareholder information form on the firm's website.

Robbins Arroyo LLP is a nationally recognized leader in securities litigation and shareholder rights law. The law firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested.

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