SAN DIEGO, Aug. 26, 2019 /PRNewswire/ -- Shareholder rights
law firm Johnson Fistel, LLP has launched an investigation into
whether the board members of SRC Energy Inc. (NYSE: SRCI) ("SRC")
breached their fiduciary duties in connection with the proposed
sale of the Company to PDC Energy, Inc. ("PDC").
On August 26, 2019, SRC announced
that it had signed a definitive merger agreement with PDC. Under
the terms of the deal, SRC shareholders will receive a fixed
exchange ratio of 0.158 PDC shares for each share of SRC common
stock, representing an implied value of $3.99 per share based on the PDC closing price as
of August 23, 2019. However,
shareholders will be subject to the future price fluctuation of
PDC's stock price.
The investigation concerns whether the SRC board failed to
satisfy its duties to the Company shareholders, including whether
the board adequately pursued alternatives to the acquisition and
whether the board obtained the best price possible for SRC shares
of common stock. Nationally recognized Johnson Fistel is investigating whether the
proposed deal represents adequate consideration, especially given
analysts' projections for future earnings growth; also one Wall
Street analyst has a $10.00 price
target on the stock. The 52-week high for SRC was $10.14.
If you are a shareholder of SRC and believe the
proposed buyout price is too low or you're interested in learning
more about the investigation or your legal rights and remedies,
please contact lead analyst Jim
Baker (jimb@johnsonfistel.com) at
619-814-4471. If emailing, please include a
phone number.
Additionally, you can [Click here to join this action].
There is no cost or obligation to you.
About Johnson Fistel,
LLP:
Johnson Fistel, LLP is a nationally
recognized shareholder rights law firm with offices in California, New
York, and Georgia. The firm
represents individual and institutional investors in shareholder
derivative and securities class action lawsuits. For more
information about the firm and its attorneys, please visit
https://www.johnsonfistel.com. Attorney advertising. Past results
do not guarantee future outcomes.
Contact:
Johnson Fistel, LLP
Jim Baker, 619-814-4471
jimb@johnsonfistel.com
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SOURCE Johnson Fistel, LLP