The Law Office of Abe Shainberg is investigating the Board of Directors of Prospect Medical Holdings, Inc. (NasdaqGM: PZZ) for possible breaches of fiduciary duty and other violations of state law in connection with the sale of the Company to an entity sponsored by Leonard Green & Partners, L.P. in which certain stockholders of Prospect will also participate. Under the terms of the deal, Prospect Medical shareholders will receive $8.50 in cash per share for a total transaction value of approximately $363 million, including assumed debt. Some directors and officers of Prospect Medical that currently own nearly 50% of Prospect's outstanding shares have entered into a agreement in which they have agreed to vote all of their shares in favor of the transaction and have also agreed to exchange approximately 6.2 million of their Prospect shares for equity interests in the sponsored purchasing entity in lieu of their receipt of the cash merger consideration for those shares.

The investigation concerns whether the Prospect Medical Board of Directors breached their fiduciary duties to Prospect Medical stockholders by failing to adequately shop the Company before entering into this transaction and whether Prospect Medical stockholders are getting fair value for their shares. At least one analyst set a price target for Prospect Medical stock of $16.20 per share.

If you own common stock in Prospect Medical and wish to obtain additional information, please contact Abe Shainberg, Esq. directly, via email at as@ashainberglaw.com, by telephone at 212.425.7268, or visit http://www.ashainberglaw.com/prospect-medical.html.

Mr. Shainberg has expertise in prosecuting investor securities litigation, is a certified and registered arbitrator and mediator involving financial matters, and represents investors in various matters nationwide.

The Law Office of Abe Shainberg
Abe Shainberg, Esq.
Tel: 212-425-7286
Fax: 866-699-3886
Email: as@ashainberglaw.com