NEW YORK–(BUSINESS WIRE) – Scott + Scott Attorneys at Law LLP (“Scott + Scott”), an international shareholder and consumer litigation firm, has announced that it has filed a class action lawsuit against Berry Corp. (“Berry” or the “Company”) to (NASDAQ: BRY) and some of its officers and directors who allege violations of federal securities laws. If you purchased or otherwise acquired Berry securities between July 26, 2018 and November 3, 2020, including both dates (the “Class Period”), including the Company’s July 2018 initial public offering (“IPO”), and suffered losses you are invited to contact Joe Pettigrew at (844) 818-6982 or [email protected] for more information.
Berry is an energy company that develops and produces conventional oil reserves and is based in the western United States.
The lawsuit alleges that throughout the classroom the defendants made false and / or misleading statements and / or failed to disclose that: (1) Berry materially overestimated its operational efficiency and stability; (2) Berry’s operational inefficiency and instability would predictably require operational improvements that would disrupt company productivity and increase costs. (3) the foregoing would have a predictable negative impact on the company’s revenues; and (4) as a result, the Company’s offer documents and public statements were materially false and / or misleading and did not contain any information to be disclosed therein.
Berry held its IPO on July 25, 2018 at a price of $ 14 per share. In a relevant part of the IPO offer documents, it was stated that the company’s “foreseeable” and “low declining production base”, its “foreseeable development and production cost structures” and its “low-cost” “low-risk” reservoirs are uniquely positioned the company for high Company-level returns and free cash flow. Berry made similar statements throughout the class. The lawsuit alleges that these statements were materially misleading.
On November 3, 2020, post-market, Berry announced its financial and operating results for the third quarter of 2020. Berry reported non-GAAP EPS and revenue, among other things, both of which fell short of estimates. Additionally, Berry reported that the company made certain operational improvements during the quarter that resulted in temporary production declines. In particular, we performed some plugging and demolition activities that resulted in a temporary shutdown of the nearby wells. In addition, improved steam management reduced overall costs, but temporarily increased the need for water disposal and well maintenance, resulting in a slight decrease in production. ”
In that news, the company’s share price fell $ 0.15 per share, or 5.28%, to close at $ 2.69 on November 4, 2020 – a drop of over 80% from the IPO price.
What you can do
If you purchased Berry securities between July 26, 2018 and November 3, 2020, including pursuant to the Company’s July 2018 initialing (“IPO”) and if you have any questions about this announcement or your statutory rights, you are We encourage you to contact Attorney Joe Pettigrew at (844) 818-6982 or [email protected] The lead plaintiff deadline is January 19, 2020.
About Scott + Scott Lawyers LLP
Scott + Scott has extensive law enforcement experience in key securities, antitrust, and retirement plan matters in the United States. The company represents pension funds, foundations, individuals and other companies worldwide with offices in New York, London, Connecticut, California and Ohio.