NEW YORK, July 18, 2008 (PRIME NEWSWIRE) -- Roy Jacobs & Associates announces it is investigating possible securities law violations affecting the public shareholders of SemGroup Energy Partners, L.P. ("SGLP" or the "Company") (Nasdaq:SGLP). From the sale of at least 6 million units at $23.90 per unit on or about February 20, 2008 in an offering (the "Offering") through July 16, 2008 the stock traded at high levels, but plummeted in price on July 17, 2008.
For further information, please contact Roy L. Jacobs, Esq. toll-free at 1-800-347-1236 or by email to rjacobs@jacobsclasslaw.com.
On July 17, 2008, after the bad news had already otherwise become known to the market, it was announced that the Company's parent, SemGroup, L.P. (the "Parent") was experiencing "liquidity issues" and was exploring various alternatives, including the filing for Bankruptcy protection. The Company was previously spun off from the Parent, but remains materially dependant on the Parent. The Parent owns and controls the Company's General Partner, and provides the Company with employees to run its operations. Simultaneously with the closing of the Offering, the Company purchased the Parent's asphalt operations for $378 million, using the proceeds from the Offering and a credit line to effect that transaction. The Parent is the Company's only significant customer.
Nothing was disclosed from the time of the Offering until the close of trading on July 17, 2008 about the Parent's financial health or liquidity problems. Indeed, the Parent materially benefited from the Offering by its receipt of the $378 million purchase price for the asphalt assets sold to the Company.
Upon revelation of this adverse news, the price of the Company's units dropped over 61%, wiping out millions in shareholder value. This drop continued on July 18, 2008.
If you purchased SGLP units during the period from February 20, 2008 through July 17, 2008 in the Offering or in the open market and are interested in discussing your rights free of charge, please contact Roy L. Jacobs. Mr. Jacobs will be glad to personally speak with you.