ProPetro investors may receive additional information about the case by clicking the link "Submit Your Information" above.
According to the complaint, ProPetro is an oilfield services company that provides hydraulic fracturing and complementary services to leading upstream oil and gas companies engaged in the exploration and production of North American unconventional oil and natural gas resources. On March 17, 2017, ProPetro’s common stock began trading on the NYSE. On March 20, 2017, ProPetro filed its prospectus on a Form 424B4 with the SEC, which forms part of the Registration Statement. In the IPO, ProPetro sold 25 million shares of common stock at a price of $14.00 per share. ProPetro received proceeds of approximately $175 million from the IPO, net of underwriting discounts and commissions. On May 13, 2017, ProPetro filed its final amendment to the Registration Statement with the SEC on a Form S-1/A, which forms part of the Registration Statement. The Registration Statement was declared effective on March 16, 2017.
On August 8, 2019, after the market closed, ProPetro issued a press release delaying its second quarter earnings conference call and quarterly report, citing an ongoing review by its Audit Committee. In a Form 8-K filed with the SEC on the same day, ProPetro stated that the review concerned, among other things, expense reimbursements and certain transactions involving related parties or potential conflicts of interest. The Form 8-K also stated that approximately $370,000 had been improperly reimbursed to members of senior management since ProPetro’s IPO. Moreover, ProPetro expected to report a material weakness in its internal control over disclosure. Following this news, ProPetro’s share price fell $4.59 per share, or over 26%, to close at $12.75 per share on August 9, 2019.
The complaint alleges that, the Registration Statement was false and misleading and omitted to state material adverse facts. The complaint further alleges that, the defendants failed to disclose to investors that: (1) ProPetro’s executive officers were improperly reimbursed for certain expenses; (2) ProPetro had engaged in certain undisclosed transactions with related parties; (3) ProPetro lacked adequate disclosure controls and procedures; (4) ProPetro lacked effective internal control over financial reporting; and (5) as a result of the foregoing, the defendants’ positive statements about ProPetro’s business, operations, and prospects, were materially misleading and/or lacked a reasonable basis.
If you are a member of the class described above, you may no later than November 15, 2019 move the Court to serve as lead plaintiff of the class, if you so choose.
A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Returning the attached form or communicating with any counsel is not necessary to participate or share in any recovery achieved in this case. Any member of the purported class may move the court to serve as a lead plaintiff through counsel of his/her choice, or may choose to do nothing and remain an inactive class member.
Kessler Topaz Meltzer & Check, LLP has not filed a complaint in this matter. If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check, LLP toll free at 1-844-887-9500 or 1-610-667-7706, or via e-mail at info@ktmc.com. If you would like additional information about the suit, please click on the link "Submit Your Information" above and fill out the form as promptly as possible.
CONTACT:
Kessler Topaz Meltzer & Check, LLP
James Maro, Esq. or Adrienne Bell, Esq.
280 King of Prussia Road
Radnor, PA 19087
1-844-887-9500 (toll free) or 1-610-667-7706
Or by e-mail at info@ktmc.com