Alta Mesa Resources (AMR) Investor Settlement
Alta Mesa Resources reached an agreement with $AMR investors to settle claims related to misleading them about the financial health of its oil and gas assets after a merger.
Overview
Alta Mesa Resources was accused of overstating oil production forecasts tied to its STACK assets in Oklahoma. After cutting its guidance in early 2018, $AMR dropped 30% and eventually collapsed by 90%. Following this, Alta Mesa Resources faced a lawsuit from investors.
Timeline
February 9, 2018 – Alta Mesa completed its merger with Silver Run Acquisition Corporation II.
March 29, 2018 – The company cut production forecasts due to operational failures, causing $AMR to drop 30%.
Early 2019 – $AMR fell below $1, marking a 90% decline from its peak.
January 30, 2019 – Investors filed a lawsuit, alleging Alta Mesa misled them about its oil production potential.
September 11, 2019 – Alta Mesa filed for Chapter 11 bankruptcy.
October 16, 2024 – Alta Mesa agreed to settle with investors.
Background
Alta Mesa Resources went public in February 2018 through a SPAC merger with Silver Run Acquisition Corporation II, promoting strong growth potential from its STACK oil assets.
In 2018, the company promised strong oil production growth and expected additional profits from its pipeline business, Kingfisher Midstream.
However, a few months later, Alta Mesa was forced to cut its production forecasts, citing lower well productivity, operational failures, and drilling delays. Following this, $AMR dropped 30%.
By early 2019, Alta Mesa’s financial condition deteriorated further, leading $AMR to fall 90% from its peak.
Soon after, investors filed a lawsuit against Alta Mesa. And by September 2019, the company filed for Chapter 11 bankruptcy, leaving investors with massive losses.
What Can Investors Expect Now?
Alta Mesa Resources has reached a settlement with $AMR investors over claims related to misleading them about the financial health of its oil and gas assets after a merger.
If you were damaged due to this situation, you can file for a payout and get your share of the settlement. You can check if you are eligible and other details in the FAQ section below.