GlobeNewswire Inc | Dec 10, 2020 05:48PM EST

December 10, 2020

NEW YORK, Dec. 10, 2020 (GLOBE NEWSWIRE) -- The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed in the U.S. District Court for the Northern District of Texas on behalf of those who acquired Berry Corporation (Berry or the Company) (NASDAQ: BRY) securities (i) pursuant and/or traceable to the Company's initial public offering conducted on or about July 26, 2018 (the IPO or Offering); or (ii) from July 23, 2018 through November 3, 2020, both dates inclusive (the Class Period). Investors have until January 21, 2021 to apply to the Court to be appointed as lead plaintiff in the lawsuit.

On June 29, 2018, the Company filed its Registration Statement on Form S-l for the IPO, which, after an amendment, was declared effective by the SEC on July 25, 2018 (the Registration Statement). On or around July 26, 2018, Berry conducted the IPO, upon which the Company began trading on the NASDAQ Global Select market (NASDAQ), issuing 13 million shares of Berry common stock at $14 per share, generating over $138 million in proceeds before expenses. On July 27, 2018 Berry filed its Prospectus on Form 424B4 with the SEC (the Prospectus and, collectively with the Registration Statement, the Offering Documents).

The complaint alleges that the Offering Documents were negligently prepared, and, as a result, contained untrue statements of material fact, omitted material facts necessary to make the statements contained therein not misleading, and failed to make necessary disclosures required under the rules and regulations governing their preparation. Additionally, throughout the Class Period, Defendants made materially false and misleading statements regarding the Companys business, operational and compliance policies. Specifically, the Offering Documents and Defendants made false and/or misleading statements and/or failed to disclose that: (i) Berry had materially overstated its operational efficiency and stability; (ii) Berrys operational inefficiency and instability would foreseeably necessitate operational improvements that would disrupt the Companys productivity and increase costs; (iii) the foregoing would foreseeably negatively impact the Companys revenues; and (iv) as a result, the Offering Documents and the Companys public statements were materially false and/or misleading and failed to state information required to be stated therein.

On November 3, 2020, post-market, Berry reported its financial and operating results for the third quarter of 2020. Among other results, Berry reported non-GAAP EPS and revenue that both fell short of estimates. In addition, Berry reported that during the quarter, the Company undertook certain operational improvements that caused temporary reductions in our production. Notably, we performed some plugging and abandonment activity that resulted in the temporary shut-in of nearby wells. Additionally, improved steam management reduced overall costs but temporarily increased water disposal and well maintenance needs, resulting in a slight decrease in production.

On this news, the Companys stock price fell $0.15 per share, or 5.28%, to close at $2.69 per share on November 4, 2020, representing an 80.78% decline from the IPO price. As of the time this Complaint was filed, the price of Berry securities continues to trade below the Offering price, damaging investors.

If you acquired Berry securities, have information, or would like to learn more about these claims, please contact Thomas W. Elrod of Kirby McInerney at 212-371-6600, by email at investigations@kmllp.com, or by filling out this contact form, to discuss your rights or interests with respect to these matters without any cost to you.

Kirby McInerney is a New York-based plaintiffs law firm concentrating in securities, antitrust, and whistleblower litigation. The firms efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm can be found at Kirby McInerneys website: www.kmllp.com.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

Contacts

Kirby McInerney LLPThomas W. Elrod, Esq., (212) 371-6600investigations@kmllp.comwww.kmllp.com