On this news, the price per share of Hi-Crush common stock fell $5.35, or more than 26%, to close that day at $15.00, on extremely heavy trading volume.If you purchased the common stock of Hi-Crush Partners beginning with its IPO on August 16, 2012 and would like to discuss this investigation, or if you have any questions concerning this notice, you may contact: Jack Fruchter or Christopher Matthews of Abraham, Fruchter & Twersky, LLP toll free at (800) 440-8986, or via e-mail at email@example.com or firstname.lastname@example.org Abraham, Fruchter & Twersky, LLP has extensive experience in securities class action cases, and the firm has been ranked among the leading class action law firms in terms of recoveries achieved by a survey of class action law firms conducted by Institutional Shareholder Services. Attorney Advertising. Prior Results Do Not Guarantee A Similar Outcome.
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.”