NEW YORK, Dec. 15, 2010 (GLOBE NEWSWIRE) -- Arcadia Capital Advisors, LLC ("Arcadia"), a shareholder of Cypress Bioscience, Inc. ("Cypress", or the "Company"), and its managing director, Richard S. Rofe ("Rofe") have released a letter to shareholders to spur the Company's senior management team (the "Management") and Board of Directors (the "Board") to release more information on their evaluation of strategic alternatives.
"The increased offer from Ramius Value and Opportunity Advisors of $6.00 per share represents a substantial increase over their previous tender offers. We believe this development further supports our view that the current Management and Board should pursue an immediate sale of the Company," stated Richard Rofe.
Arcadia suggested that although the Board has stated they will not comment on any developments until a final decision has been made, shareholders and investors should not be left in the dark in this manner for so long. The letter highlighted how information on the process has mostly come from Ramius, a non-neutral party.
"As shareholders, we need to know that the Board is focused on a quick and prudent conclusion to this process," Mr. Rofe commented. "How can we know that the Board is truly looking to maximize shareholder value if they stay silent?"
Mr. Rofe indicated the current offer of $6.00 per share is a good starting point for the Board to pursue a sale transaction.
"We would like the Board to focus solely on a sale of the entire company, and nothing else, in light of the immediate cash value that shareholders can obtain with the Ramius offer," Mr. Rofe said. "The Board should not be seeking to do any other types of transactions, including partnerships or acquisitions, at this point."
Mr. Rofe concluded, "We call upon the Board to fulfill their fiduciary duty to shareholders, the true owners of the Company, and act in a manner that will benefit all investors."
Click the attached link for the letter:
About Arcadia Capital Advisors
Arcadia Capital Advisors is a private investment firm based in New York that employs a value-oriented investment philosophy in the management of long/short hedge funds focused on small and micro-cap companies. The firm is led by Richard Rofe and is sponsored by M.D. Sass-Macquarie Financial Strategies.
CONTACT: Arcadia Capital Advisors Kelly Sinclair (516) 466-5258 info@arcadiacap.com