Andrews & Springer LLC filed a class action and derivative complaint on behalf of public stockholders of Earthstone Energy, Inc. (“Earthstone”) and derivatively on behalf of nominal defendant Earthstone in the Delaware Court of Chancery, Case No. 2017-0414-JRS.

The complaint challenges the sale of substantially all of Earthstone’s assets to a newly-formed subsidiary in exchange for membership interests and assets of Bold Energy III LLC, a portfolio company of EnCap Investments L.P., through a complex "Up-C" Transaction. The Transaction resulted in Earthstone stockholders owning just 39% of the combined outstanding equity.

Please click here for a copy of the Public Version of the Complaint.