An investigation on behalf of investors, who currently hold shares of Resolute Energy Corporation (NYSE: REN), was announced concerning whether the takeover of Resolute Energy Corporation is unfair to NYSE: REN stockholders.

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

Denver, CO based Resolute Energy Corporation, an independent oil and gas company, engages in the acquisition, exploitation, exploration for, and development of oil and gas properties in the United States.

On Nov. 19, 2018, Cimarex (NYSE: XEC) and Resolute Energy Corporation (NYSE: REN) announced that Cimarex has entered into an agreement to acquire Resolute Energy Corporation in a cash and stock transaction valued at $35.00 per share, or a total purchase price of approximately $1.6 billion, including Resolute's long term debt of $710 million, as of September 30, 2018.

However, given that at least one analyst has se the high target price for NYSE: REN shares at $62.80 per share and given that NYSE: REN shares reached as recently as October 3, 2018 as high as $38.96 per share in the open market, the investigation concerns whether the offer is unfair to NYSE: REN stockholders. More specifically, the investigation concerns whether the Resolute Energy Board of Directors undertook an adequate sales process, adequately shopped the company before entering into the transaction, maximized shareholder value by negotiating the best price, and acted in the shareholders' best interests in connection with the proposed sale.


Resolute Energy Corporation reported that its annual total revenue rose from $164.47 million in 2016 to $303.47 million in 2017 and that its Net Loss declined from $161.72 million in 2016 to $1.23 million in 2017.

Shares of Resolute Energy Corporation (NYSE: REN) closed on November 27, 2018, at $33.80 per share.