An investigation on behalf of investors in NYSEMKT:ESTE shares over potential wrongdoing at Earthstone Energy Inc was announced and NYSEMKT:ESTE stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 12/15/2016 -- An investigation on behalf of investors in shares of Earthstone Energy Inc (NYSEMKT:ESTE) was announced over potential breaches of fiduciary duties by certain directors.
Investors who purchased shares of Earthstone Energy Inc (NYSEMKT:ESTE) and currently hold any of those NYSEMKT:ESTE shares have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call 858-779-1554.
The investigation by a law firm concerns whether certain Earthstone Energy officers and directors breached their fiduciary duties and caused damage to the company and its shareholders.
On November 8, 2016, Earthstone Energy Inc (NYSEMKT:ESTE) and Bold Energy III LLC , a portfolio company of EnCap Investments L.P., announced that they have entered into a definitive contribution agreement under which Earthstone Energy Inc (NYSEMKT:ESTE) will acquire all of the outstanding membership interests of Bold, inclusive of producing assets and undeveloped acreage, in an "Up-C" transaction.
Pursuant to an agreement between Earthstone Energy Inc and Bold Energy III LLC, the companies will combine, leaving Earthstone Energy Inc shareholders with less than one third of the surviving company. According to the terms, Earthstone Energy Inc will recapitalize its common stock into two classes – Class A and Class B, and all its existing outstanding common stock will be converted into Class A common stock. Bold Energy III LLC will purchase approximately 36.1 million shares of Earthstone's Class B common stock for nominal consideration, with the Class B common stock having no economic rights in Earthstone other than voting rights on a pari passu basis with the Class A common stock.
Shares of Earthstone Energy Inc (NYSEMKT:ESTE) closed on December 14, 2016, at $13.81 per share.
Those who purchased shares of Earthstone Energy Inc have certain options and should contact the Shareholders Foundation.
Contact:
Shareholders Foundation, Inc.
Michael Daniels
3111 Camino Del Rio North - Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com