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APA.US
id: 1160

Apache Corporation (APA) Investor Settlement

Late claims are being considered for compensation, subject to approval.
S.D. Texas
Court
4:21-cv-00575
Case number
09/07/2016
Class period Start
03/13/2020
Class period End
10/09/2024
Claim deadline
Apache Corporation has agreed to settle $65M with investors to resolve claims about the business prospects at Alpine High.

Outline

In 2014, Apache acquired 300k acres in Texas, promoting it as the promising “Alpine High” oil discovery. Despite knowing the site's limited viability, management misrepresented production potential, leading to a 93% stock drop and $24 billion in lost value once the truth emerged.

Timeline
  • In 2016: Apache announced Alpine High as a major oil discovery in Texas.
  • On February 26, 2020: Apache revealed a $3 billion write-down for Alpine High, wiping out two years of profits and reducing its dividend by 90%.
  • After the news, Apache's stock collapsed by 93%.
  • On February 23, 2021: Apache faced a lawsuit from investors.
Background

In 2016, Apache promoted Alpine High as a major oil discovery in Texas, with CEO John J. Christmann highlighting its potential worth of over $8 billion.

However, in February 2020, Apache announced a $3 billion write-down for Alpine High, erasing two years of profits and cutting its dividend by 90%.

Moreover, media criticism of the write-down highlighted CEO John Christmann's earlier reassurances, leading to a 93% drop in stock value.

Following these events, investors filed lawsuit against Apache, claiming the company misled them about Alpine High's poor performance and hid important production details.

What can investors expect now?

Apache Corporation has agreed to settle $65M with investors to resolve claims about the business prospects at Alpine High.

If you were damaged due to this situation, you can file for a payout and get your share of the settlement. You can check if you are eligible and other details in the FAQ section below.
Case Status
Accepting Late Claims
Alleged Offence
Misleading Statements
Financial Misrepresentation
Failure to Disclose
Omissions
Suspected Party
Directors
Management
Security Type
Stocks
Trade Direction
Long
Payout per Share
0.36
Filing date
02/23/2021
Lead Plaintiff Deadline
04/24/2021
Plaintiffs
Plymouth County Retirement Association
Attorneys
Ajamie LLP (Houston, TX), Kessler Topaz Meltzer & Check LLP (Radnor, PA), Saxena White PA (San Diego, CA)
Judge
Hon. George C. Hanks, Jr.
Administrator
A.B. Data Ltd
Court hearing date
09/19/2024
Exclusion deadline
08/29/2024
Objection deadline
08/29/2024
Hearing deadline
08/29/2024
Attorney fee
$23,566,665
Trades matching type
FIFO
+$65,000,000
Cash Settlement Amount