Breaking News

Sun Hung Kai's Thomas Kwok Sentenced to 5 Years in Jail
Tweet TWEET

Block & Leviton LLP Investigates Forest Oil Corporation for Possible Breaches of Fiduciary Duty in Connection with Its Potentia

Block & Leviton LLP Investigates Forest Oil Corporation for Possible Breaches
of Fiduciary Duty in Connection with Its Potential Acquisition by Sabine Oil &
                                   Gas LLC

PR Newswire

BOSTON, May 6, 2014

BOSTON, May 6, 2014 /PRNewswire/ --Block & Leviton LLP (www.blockesq.com), a
Boston-based law firm representing investors nationwide, has commenced an
investigation into possible breaches of fiduciary duty by the board of
directors of Forest Oil Corporation ("Forest" or the "Company") (NYSE: FST)
concerning the proposed acquisition of the Company by Sabine Oil & Gas LLC
("Sabine"), currently a limited liability company that is not publicly
traded.

Under the terms of the proposed transaction, each share of Forest will be
converted into a 0.1 share of Sabine common stock, in an attempt to replicate
a 10:1 reverse stock split, and Sabine's parent entity will contribute its
equity interest in Sabine in exchange for 33 million shares of a newly formed
holding company. Forest shareholders are expected to own approximately 26.5
percent of the combined company and Sabine unit holders will hold 73.5
percent. At least two directors are believed to have negotiated positions for
themselves on the combined company's board.

Upon executing the merger, the combined company is expected to trade on the
NYSE. However, no timing or sureties surrounding this potential listing have
yet been released, which could leave Forest investors holding a minority
interest in a highly illiquid asset. Additionally, it is extremely difficult
for shareholders to determine the adequacy of the consideration they are to
receive, given that it will be entirely paid in shares of a yet to be created
company, funded predominantly through the assets of a non-publicly traded
company.

Block & Leviton's investigation seeks to determine, among other things,
whether Forest's directors breached their fiduciary duties by failing to
maximize shareholder value in the potential acquisition and the fairness by
which the directors considered and approved the transaction. 

If you are a Forest shareholder and have questions about your legal rights, or
if you have information relevant to this investigation, please contact
attorney Steven Harte, at (617) 398-5600 or email him at Steven@blockesq.com.
Whistleblowers confidentiality is assured.

Block & Leviton is a Boston-based law firm representing investors nationwide
for violations of securities laws. The firm's lawyers have collectively been
prosecuting securities cases on behalf of investors for over 70 years. This
notice may constitute attorney advertising.

Contact:
BLOCK & LEVITON LLP
Steven P. Harte, Esq.
steven@blockesq.com
(617) 398-5600

SOURCE Block & Leviton LLP

Website: http://www.blockesq.com
 
Press spacebar to pause and continue. Press esc to stop.