Concerned about your investment in Pioneer Energy Services?
Are you concerned about your investment in Pioneer Energy Services? If so, the securities attorneys at The White Law Group may be able to help you by filing a FINRA Arbitration claim against the brokerage firm that sold you the investment.
Pioneer Energy Services, a San Antonio oil field services company, reportedly filed for Chapter 11 bankruptcy protection this week, according to numerous reports. The company reportedly hasn’t posted a quarterly profit since 2014.
The company has reportedly reached an agreement with key stakeholders that will allow its lenders to swap debt for equity in Pioneer.
The deal will allow Pioneer to eliminate $300 million in debt once the company is reorganized, including new capital, with noteholders and shareholders injecting up to $125 million and about $75 million of new, senior secured debt.
According to the bankruptcy petition filed in Houston, Pioneer said it owns as much as $500 million in assets but has up to $500 million in liabilities.
Pioneer’s stock dropped 36 percent from its opening price on Monday, closing at 2.2 cents a share.
Investigating Potential Securities Claims
Energy investments such as Pioneer Energy Services typically involve a high degree of risk. The energy market has seen enormous losses over the last few years due to the declining cost of oil and other energy commodities. These investments may seem wise at first, until the dramatic drop in distributions.
The White Law Group is investigating the liability that FINRA registered brokerage firms may have for improperly selling high-risk energy investments, like Pioneer Energy Services, to their clients.
Prior to making recommendations to an individual investor, brokerage firms are required by the Financial Industry Regulatory Authority (FINRA) to disclose all the risks of an investment. Recommendations should only be made if the investment is suitable for an individual investor given their age, investment objections, investment experience and risk tolerance.
Brokerage firms that do not perform adequate due diligence on an investment and/or make unsuitable recommendations can be held accountable for investment losses through FINRA arbitration.
If you are concerned about your investment in Pioneer Energy Services, The White Law Group may be able to help. Please call the offices at 888-637-5510 for a free consultation with a securities attorney.
The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Franklin, Tennessee.
For more information on The White Law Group and its representation of investors in FINRA arbitration claims, please visit https://www.whitesecuritieslaw.com.