AMR.US
id: 1362
Alta Mesa Resources (AMR) Investor Settlement
Late claims are being considered for compensation, subject to approval.
$126,299,998
Cash SettlementS.D. Texas
Court4:19-cv-00957
Case number08/16/2017
Class period Start05/17/2019
Class period End05/07/2025
Claim deadlineAlta 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.
Case Type
US Securities Class Action
Case Status
Accepting Late Claims
Alleged Offence
Mismanagement,
Misleading Statements,
Financial Misrepresentation,
Failure to Disclose,
Omissions
Suspected Party
Directors,
Management
Security Type
Stocks
Trade Direction
Long
Payout per Share
0.68
Filing date
01/30/2019
Plaintiffs
Paul J. Burbach
Attorneys
Entwistle & Cappucci LLP; Robbins Geller Rudman & Dowd
Defendants
James T. Hackett
Judge
Hon. George C Hanks, Jr.
Administrator
JND Legal Administration
Settlement agreement date
2024-10-16
Court hearing date
04/30/2025
Exclusion deadline
05/17/2024
Objection deadline
04/09/2025
Attorney fee
$48,660,000
Trades matching type
FIFO
Frequently Asked Questions
Who is eligible for this settlement?
Do you have to sell securities to be eligible?
How long does the payout process take?
How much will my payment be?
How to get your payout?
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