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WeissLaw LLP Investigates Bonanza Creek Energy Inc. Acquisition

PR Newswire

NEW YORK, Nov. 17, 2017 /PRNewswire/ -- WeissLaw LLP is investigating possible breaches of fiduciary duty and other violations of law by the Board of Directors of Bonanza Creek Energy Inc. ("BCEI" or the "Company") (NYSE: BCEI) in connection with the proposed acquisition of the Company by SandRidge Energy, Inc. ("SD") (NYSE: SD).  On November 15, 2017, the Company announced a definitive agreement for SD to acquire all outstanding shares of BCEI in a cash-and-stock transaction.  Under the terms of the agreement, the Company's shareholders will receive $19.20 in cash and $16.80 of SD shares for each BCEI share they own, representing consideration of $36.00.

WeissLaw is investigating whether BCEI's Board acted to maximize shareholder value prior to entering into the agreement.  Notably, BCEI shares traded for $40.60, or $4.60 above the per-share consideration, as recently as May of this year.  Additionally, according to James Bennett, SD's CEO, "[t]his transaction greatly enhances [SD's] existing portfolio by adding a deep inventory of drill-ready locations [] and is highly complementary to [SD's] existing assets."  Further, SD expects to gain significant benefits from the expertise of BCEI's teams, economies of scale, and operational synergies.  Finally, the transaction is expected to be accretive to cash flow per share and enhance SD's ability to increase cash flow.  

Given these facts, WeissLaw is investigating whether BCEI's Board acted in the best interests of BCEI's public shareholders to maximize shareholder value prior to entering into the agreement.  If you own BCEI shares and would like more information about your rights or our investigation, or if you have information to share with us, please contact Joshua Rubin by telephone at (888) 593-4771 or by email at stockinfo@weisslawllp.com .

WeissLaw LLP has litigated hundreds of stockholder class and derivative actions for violations of corporate and fiduciary duties.  We have recovered over a billion dollars for defrauded clients and obtained important corporate governance relief in many of these cases.  If you have information or would like legal advice concerning possible corporate wrongdoing (including insider trading, waste of corporate assets, accounting fraud, or materially misleading information), consumer fraud (including false advertising, defective products, or other deceptive business practices), or anti-trust violations, please email us at stockinfo@weisslawllp.com or fill out the form on our website, http://www.weisslawllp.com/bonanza-creek-energy-inc / 

 

View original content:http://www.prnewswire.com/news-releases/weisslaw-llp-investigates-bonanza-creek-energy-inc-acquisition-300558950.html

SOURCE WeissLaw LLP



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