This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Abraham, Fruchter & Twersky, LLP Announces Investigation Of Hi-Crush Partners LP

Stocks in this article: HCLP

Abraham, Fruchter & Twersky, LLP has commenced an investigation concerning possible violations of federal securities laws by Hi-Crush Partners LP (“Hi-Crush Partners” or the “Company”) (NYSE: HCLP).

Hi-Crush Partners, based in Houston, Texas, engages in the mining and processing of raw sands for use in hydraulic fracturing operations in oil and gas wells. On August 16, 2012, Hi-Crush Partners commenced an initial public offering (“IPO”) of 11,250,000 shares at a price of $17 per share for total proceeds of $191.25 million.

In connection with the IPO, the Company filed a Prospectus and Registration Statement with the United States Securities and Exchange Commission disclosing that Baker Hughes, Inc., one of North America’s largest providers of pressure pumping services, is also one of the Company’s largest customers. The filings further indicated that “[s]ubstantially all of our sales are generated under contracts with four customers, and the loss of or reduced purchasing by any of them could adversely affect our results of operations.”

Then on November 13, 2012, Hi-Crush Partners filed its quarterly report disclosing its earnings for the period ended September 30, 2012. The Company also disclosed for the first time that on September 19, 2012, Baker Hughes Oilfield Operations, Inc. provided notice that it was terminating a supply agreement for frac sand with the Company and that after discussions to resolve the conflict had broken down, Hi-Crush Partners filed suit against Baker Hughes in the State District Court of Harris County, Texas, seeking damages for Baker Hughes’ alleged “prior wrongful termination of the supply agreement.”

Hi-Crush Partners also cautioned investors that if it is unsuccessful in its lawsuit against Baker Hughes, or if it is unable to sell the frac sand to existing or new customers on “economically acceptable terms,” the Company’s business, financial condition, and results of operations “could be materially harmed.”

1 of 2

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,077.89 +47.68 0.26%
S&P 500 2,090.79 +8.91 0.43%
NASDAQ 4,802.9050 +29.4330 0.62%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs