A lawsuit was filed on behalf of investors in Valaris plc (NYSE: VAL) shares over alleged securities laws violations.
San Diego, CA -- (SBWIRE) -- 09/05/2019 -- An investor, who purchased shares of Valaris plc (NYSE: VAL), filed a lawsuit in the U.S. over alleged violations of Federal Securities Laws by Valaris plc in connection with certain allegedly false and misleading statements.
Investors who purchased shares of Valaris plc (NYSE: VAL) have certain options and for certain investors are short and strict deadlines running. Deadline: October 21, 2019. NYSE: VAL investors should contact the Shareholders Foundation at email@example.com or call +1(858) 779 - 1554.
London, UK based Valaris plc provides offshore drilling services in various water depths worldwide. Valaris plc reported that its annual Total Revenue declined from $1.84 billion in 2017 to $1.7 billion in 2018 and that its Net Loss increased from $303.7 million in 2017 to $639.7 million in 2018.
On July 31, 2019, Valaris plc announced its second quarter 2019 financial results—purportedly its first earnings report post-merger reflecting the results of the combined company—which missed market expectations (the "2Q 2019 Press Release"). Upon issuance of the 2Q 2019 Press Release, an article was published on August 2, 2019, entitled "Valaris PLC - Off To A Bad Start", noting that Valaris's results "shock[ed] investors with massive cash usage [and] . . . surprisingly weak outlook for the ultra-deepwater segment with further dayrate recovery likely delayed until at least the second half of next year." The article further criticized the Company's free cash flow for the quarter, which was "negative by a whopping $375 million causing the company's remaining pro forma cash balance adjusted for roughly $741 million in payments related to the recent debt tender offer to decline to just $353 million."
The plaintiff claims that between April 11, 2019 and July 31, 2019, the defendants failed to disclose to investors that the Company was plagued by a weak ultra-deepwater segment, massive cash usage, and significant negative cash flow, that the foregoing was reasonably likely to have a material negative impact on the Company's second quarter 2019 results, that the merger leading to Valaris's establishment could not deliver on its touted benefits, and that as a result, the Company's public statements were materially false and misleading at all relevant times.
Those who purchased shares of Valaris plc (NYSE: VAL) have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
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About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, , which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigation, and/or settlements are not filed/reached and/or related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.
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