November 2, 2016 (Shareholders Foundation) - An investigation on behalf of investors, who currently hold units of JP Energy Partners LP (NYSE:JPEP), was announced concerning whether the takeover of JP Energy Partners LP by American Midstream Partners, LP is unfair to NYSE:JPEP stockholders.

The investigation by a law firm concerns whether certain officers and directors of JP Energy Partners LP breached their fiduciary duties owed to NYSE:JPEP investors in connection with the proposed acquisition.

On Octobr 24, 2016, American Midstream Partners, LP (NYSE: AMID) and JP Energy Partners LP (NYSE:JPEP) announced their execution of a merger agreement to create a combined midstream platform. Under the terms of the agreement, JP Energy Partners unitholders will receive 0.5775 units of American Midstream Partners, LP (NYSE: AMID) with a value of $8.63 for each common unit of JP Energy Partners LP (NYSE:JPEP).

However, given that at least one analyst has set the high price target for NYSE:JPEP units at $10.75 and given that NYSE:JPEP units traded in August 2016 as high as $9.85 per unit, the
investigation concerns whether the offer is unfair to YSE:JPEP stockholders. More specifically, the investigation concerns whether the JP Energy Partners Board of Directors undertook an adequate sales process, adequately shopped the company before entering into the transaction, maximized unitholder value by negotiating the best price, and acted in the unitholders' best interests in connection with the proposed sale.

On November 2, 2016, JP Energy Partners LP (NYSE:JPEP) units closed at $7.73.