ASB Bancorp Hit with Lawsuit Over Proposed Merger with First Bancorp

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ASB Bancorp, Inc. and its board of directors are facing a proposed class action lawsuit that claims they failed to disclose necessary information regarding a proposed merger with First Bancorp. In particular, the complaint alleges that stockholders are lacking information concerning the company’s financial projections, the “key inputs and assumptions” used in the valuation analyses performed by ASB’s financial advisor, and potential conflicts of interest of the financial advisor and ASB’s board of directors. The plaintiff argues that stockholders require this information in order to “cast a fully informed vote” in connection with the merger.