SAN DIEGO, Oct. 19, 2020 /PRNewswire/ — Shareholder rights law firm Johnson Fistel, LLP has launched an investigation into whether the board members of Concho Resources (NYSE: CXO) (“Concho” or the “Company”) breached their fiduciary duties in connection with the proposed sale of the Company to ConocoPhillips (NYSE: COP).
On October 19, 2020, Concho announced that they had entered into a definitive merger agreement with ConocoPhillips. Under the terms of the transaction, each share of Concho common stock will be exchanged for a fixed ratio of 1.46 shares of ConocoPhillips common stock. Based on ConocoPhillips’ closing stock price on October 16, 2020, the implied stock consideration to be received by Concho’s stockholders is $49.30 per share.
Concho shareholders will be subject to the future price fluctuation of ConocoPhillips stock price.
The investigation concerns whether the Concho board failed to satisfy its duties to the Company shareholders, including whether the board adequately pursued alternatives to the acquisition and whether the board obtained the best price possible for Concho shares of common stock. Nationally recognized Johnson Fistel is investigating whether the proposed deal represents adequate consideration, especially given analysts’ projections for future earnings and revenue growth; also, one Wall Street analyst has a $99.00 price target on the stock. The 52-week high for Concho was $93.34.
If you are a shareholder of Concho and believe the proposed buyout price is too low or you’re interested in learning more about the investigation, please contact lead analyst Jim Baker (firstname.lastname@example.org) at 619-814-4471. If emailing, please include a phone number.
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About Johnson Fistel, LLP:
Johnson Fistel, LLP is a nationally recognized shareholder rights law firm with offices in California, New York, and Georgia. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits. For more information about the firm and its attorneys, please visit https://www.johnsonfistel.com. Attorney advertising. Past results do not guarantee future outcomes.
Johnson Fistel, LLP
Jim Baker, 619-814-4471
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SOURCE Johnson Fistel, LLP