BALA CYNWYD, PA / ACCESSWIRE / September 9, 2019 / Law office of Brodsky & Smith, LLC announces that it is investigating potential claims against the Board of Directors of SRC Energy Inc. (“SRC” or “the Company”) (NYSE:SRCI News) for possible breaches of fiduciary duty and other violations of federal and state law in connection with the sale of the Company to PDC Energy, Inc. ("PDC") (PDCE).
Under the terms of the transaction, SRC shareholders will receive only a fixed exchange ratio of 0.158 PDC shares for each share of SRC common stock owned, for an implied value of $3.99 per share based on the August 23, 2019 closing price - notably, a 3.9% discount to SRC’s close. The investigation concerns whether the SRC Board breached its fiduciary duties to shareholders and whether PDC is underpaying for the Company. The transaction may undervalue the Company and would result in a substantial loss for many SRC shareholders. For example, SRC stock has traded well above the $3.99 implied value over the course of the last year, with the stock’s 52-week high being $9.51.
If you own shares of SRC stock and wish to discuss the legal ramifications of the investigation, or have any questions, you may e-mail or call the law office of Brodsky & Smith, LLC who will, without obligation or cost to you, attempt to answer your questions. You may contact Jason L. Brodsky, Esquire, or Marc L. Ackerman, Esquire at Brodsky & Smith, LLC, Two Bala Plaza, Suite 510, Bala Cynwyd, PA 19004, by visiting http://www.brodskysmith.com/cases/src-energy-inc-srci/, or calling toll free 877-534-2590.
Brodsky & Smith, LLC is a litigation law firm with extensive expertise representing shareholders throughout the nation in securities and class action lawsuits. The attorneys at Brodsky & Smith have been appointed by numerous courts throughout the country to serve as lead counsel in class actions and have successfully recovered millions of dollars for our clients and shareholders. Attorney advertising. Prior results do not guarantee a similar outcome.
SOURCE: Brodsky & Smith, LLC