BENSALEM, Pa.–(BUSINESS WIRE)–$VAL–Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors who purchased Valaris plc (“Valaris” or the “Company”) (NYSE: VAL) securities between April 11, 2019 and July 31, 2019, inclusive (the “Class Period”). Valaris investors have until October 21, 2019 to file a lead plaintiff motion.
Investors suffering losses on their Valaris investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to [email protected].
On April 11, 2019, Ensco plc and Rowan Companies plc combined to form Ensco Rowan plc, which was later renamed Valaris plc.
On July 31, 2019, the Company announced its second quarter 2019 financial results, its first earnings report since the merger, which missed market expectations. As noted by Seeking Alpha in an article published on August 2, 2019, Valaris’ 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.”
On this news, Valaris’ stock price fell $1.50, or over 18%, to close at $6.77 on August 1, 2019, thereby injuring investors.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that Valaris was plagued by a weak ultra-deepwater segment, massive cash usage, and significant negative cash flow; (2) that the foregoing was reasonably likely to have a material negative impact on Valaris’s second quarter 2019 results; (3) that the merger leading to Valaris’s establishment could not deliver on its touted benefits; and (4) that as a result, Valaris’s public statements were materially false and misleading at all relevant times.
If you purchased Valaris securities have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to [email protected], or visit our website at www.howardsmithlaw.com.
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