MURRAY, FRANK & SAILER LLP Has Filed a Shareholder Class Action against SemGroup Energy Partners, L.P.
NEW YORK -- MURRAY, FRANK & SAILER LLP has filed a class action in the Southern District of New York on behalf of shareholders who purchased or otherwise acquired the common units of SemGroup Energy Partners, L.P. ("SGLP" or the "Company") (Nasdaq:SGLP) during the period between July 17, 2007 and July 17, 2008, inclusive (the "Class Period"), and on behalf of purchasers of SGLP's common units acquired pursuant and/or traceable to the Registration Statement and Prospectus issued in connection with SGLP's Initial Public Offering declared effective on July 17, 2007 ("IPO"), as well as all purchasers of SGLP's common units acquired pursuant and/or traceable to the Registration Statement and Prospectus issued in connection with SGLP's secondary offering completed on or about February 20, 2008 ("Secondary Offering").
According to the complaint, the Registration Statements and Prospectuses issued in connection with the IPO and Secondary Offering and the statements made during the Class Period failed to disclose the adverse financial condition and lack of liquidity of SemGroup L.P. (SGLP's Parent, from whom SGLP derives more than 80% of its revenue) as a result of its speculative, dangerous and unauthorized hedging and trading in crude oil.
The complaint further alleges that by July 11, 2008, SGLP's common unit value began to decline on increased trading volume despite the release of no adverse news. By July 17, 2008, SGLP's common unit price declined 50% to $11.00 on high trading volume in excess of 5.7 million units after material adverse news, which had been withheld by defendants, began to leak, thus forcing defendants to issue a statement revealing that SemGroup L.P. was experiencing liquidity issues and was exploring various alternatives, including raising additional equity, debt capital or the filing of a voluntary petition for reorganization under Chapter 11 of the Bankruptcy Code. The complaint indicates that as a result, the price of the Company's common units continued to decline, wiping out almost $300 million in their value.
If you are a member of the proposed Class, you may move the court no later than September 19, 2008, to serve as a lead plaintiff for the Class. A Lead Plaintiff is a representative chosen by the Court, who acts on behalf of other class members in directing the litigation.
If you would like to discuss this action, this announcement, or your rights and interests, please contact us.