BENSALEM, Pa., Nov. 14, 2019 (GLOBE NEWSWIRE) -- Law Offices of Howard G. Smith reminds investors of the upcoming November 15, 2019 deadline to file a lead plaintiff motion in the class action filed on behalf of investors who purchased ProPetro Holding Corp. (“ProPetro” or the “Company”) (NYSE: PUMP) securities: a) pursuant and/or traceable to the registration statement and prospectus (collectively, the “Registration Statement”) issued in connection with the Company’s March 2017 initial public offering (“IPO or the “Offering”); and/or b) between March 17, 2017 and August 8, 2019, inclusive (the “Class Period”).
Investors suffering losses on their ProPetro investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to howardsmith@howardsmithlaw.com.
In March 2017, the Company completed its initial public offering, in which it sold 25 million shares of common stock at $14.00 per share.
On August 8, 2019, after the market closed, the Company 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, the Company 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 the IPO. Moreover, the Company expected to report a material weakness in its internal control over disclosure.
On this news, the Company’s share price fell $4.59 per share, or over 26%, to close at $12.75 per share on August 9, 2019, thereby injuring investors.
By the commencement of this action, ProPetro stock was trading as low as $11.44 per share, a nearly 18% decline from the $14 per share IPO price.
On October 9, 2019, the Company announced that the Audit Committee’s internal review was “substantial[ly] complete[],” disclosed its factual findings, and demoted the Chief Financial Officer and Chief Executive Officer.
On October 18, 2019, Reuters reported that the Company was under investigation by the U.S. Securities and Exchange Commission (“SEC”) regarding its disclosures, internal financial controls, and public reporting.
On this news, the Company’s share price fell $0.70 per share, or nearly 9%, to close at $7.91 per share on October 18, 2019, thereby injuring investors further.
Then, on October 31, 2019, Culper Research published a report criticizing the Company’s disclosure that its internal review was substantially complete and alleging that at least nine related entities were not disclosed to investors.
On this news, the Company’s share price fell as much as $0.86 per share, or more than 10%, during intraday trading on October 31, 2019, thereby injuring investors further.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that the Company’s executive officers were improperly reimbursed for certain expenses; (2) that the Company had engaged in certain undisclosed transactions with related parties; (3) that the Company lacked adequate disclosure controls and procedures; (4) that the Company lacked effective internal control over financial reporting; and (5) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects, were materially misleading and/or lacked a reasonable basis.
If you purchased shares of ProPetro pursuant to the Registration Statement and/or during the Class Period, you may move the Court no later than November 15, 2019 to ask the Court to appoint you as lead plaintiff if you meet certain legal requirements. To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to howardsmith@howardsmithlaw.com, or visit our website at www.howardsmithlaw.com.
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Contacts
Law Offices of Howard G. Smith
Howard G. Smith, Esquire
215-638-4847
888-638-4847
howardsmith@howardsmithlaw.com
www.howardsmithlaw.com