2010-03-09 19:49:33 - Lawsuit on behalf of investors of Zenith National Insurance Corp. (Public, NYSE:ZNT) shares over alleged breach of fiduciary duty by the Zenith National Insurance board of directors – Contact the Shareholders Foundation

Zenith National Insurance Corp investors filed lawsuits on behalf of current investors in Zenith National Insurance Corp. (Public, NYSE:ZNT), who purchased their ZNT shares before February 18, 2010, in California State Court over alleged breaches of fiduciary duty in connection with an alleged unfair takeover.

If you are currently a long term investor in shares of Zenith National Insurance Corp. (Public, NYSE:ZNT), who purchased their ZNT shares before February 18, 2010, and those who have additional information relating the investigations, have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or at: +1 (858) 779 – 1554.

According to the complaint the plaintiff alleges that Defendants' attempted to sell Zenith National Insurance to Fairfax Holdings Limited and Fairfax Investments

II USA Corp., by means of an unfair process and for an unfair price of $38.00 per share in cash for each share of Zenith common stock. On Feb 18, 2010, Zenith National Insurance Corp. (NYSE: ZNT) and Fairfax Financial Holdings Limited (TSX: FFH and FFH.U) announced that Fairfax Financial Holdings Limited and Zenith National Insurance Corp. have entered into a $1.4 billion merger agreement pursuant to which Fairfax Financial Holdings will acquire for $38.00 per share in cash all of the outstanding shares of Zenith National Insurance Corp common stock (ZNT), which it does not currently own.

According to Zenith National Insurance Corp Zenith (ZNT) the board of directors of Zenith unanimously approved the merger agreement and the offer represents a premium of 31.4% to the closing price of Zenith common stock on February 17, 2010, the last trading day prior to this announcement, and a 34.0% premium to the 30-day average closing price for the period ending on February 17, 2010. The merger consideration of $38.00 per share also represents a premium of 34.5% to Zenith's book value as of December 31, 2009.

But shares of Zenith National Insurance Corp. (ZNT) reached $32.24 per share in October 2009, $41.08 per share in September 2008, $43.93 per share in Jan 2008, and over $50 per share in 2007. The plaintiff alleges that the Individual Defendants, separately and together, in connection with the Proposed Transaction are knowingly or recklessly violating their fiduciary duties, including thier duties of loyalty, good faith and independence owed to Plaintiff and other public shareholders of Zenith, or are aiding and abetting other in violating those duties.T hose who are currently long term investors in shares of Zenith National Insurance Corp. (Public, NYSE:ZNT), who purchased their ZNT shares before February 18, 2010, and those who have additional information relating the investigations, have certain options and should contact the Shareholders Foundation.