PDC Energy, Inc.

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Ademi LLP is investigating PDC (NASDAQ: PDCE) for possible breaches of fiduciary duty and other violations of law in its transaction with Chevron.

PDC public stockholders are expected to receive only $72 per share. Based on Chevron’s closing price on May 19, 2023 and under the terms of the agreement, PDC shareholders will receive 0.4638 shares of Chevron for each PDC share. The total enterprise value, including debt, of the transaction is $7.6 billion. The transaction agreement unreasonably limits competing bids for PDC by imposing a significant penalty if PDC accepts a superior bid. PDC insiders will receive substantial benefits as part of change of control arrangements.

We are investigating the conduct of PDC’s board of directors, and whether they are (i) fulfilling their fiduciary duties to all shareholders, and (ii) obtaining a fair and reasonable price for PDC.