Bristow under investigation
Following on from weak Q3 results, the departure of its CEO and the collapse of a proposed $560 million acquisition, helicopter operator Bristow Group is now being targeted by several law firms investigating the company and its officers’ possible violation of Federal securities laws.
The helicopter operator wrote on its Q3 results announcement on 11 February that it “did not have adequate monitoring control processes in place related to non-financial covenants within certain of its secured financing and lease agreements”
The financing and leasing agreements that the law firms are examining have not been disclosed.
Bristow claims that its disclosure of controls and procedures were not effective at a reasonable assurance level as of 31 March 2018. The company is also investigating whether this resulted in its misstating financial statements in its annual report.
Law firms Block & Leviton, Howard G. Smith and Glancy Prongay & Murray are reaching out to those who purchased Bristow securities, asking them to come forward with more information or get in contact if they would like to know more about these claims.
On the day that it announced its Q3 results, Bristow revealed it was terminating the proposed Columbia helicopters acquisition and announced the resignation of its CEO. Shortly after these back-to-back announcements, Bristow’s share price fell almost 40% ($1.22 per share) to almost $1.84 on 12 February 2019.