HOUSTON, Nov. 19, 2020 /PRNewswire/ -- American Resources, Inc., and SK Energy LLC, the investment vehicle of Dr. Simon Kukes, one of the largest shareholders of Ring Energy, Inc. (NYSE:REI), announced today that they are very concerned with the decisions of the Board of Directors of Ring Energy, Inc.
As a result of this concern, SK Energy and American Resources urge all Ring Energy shareholders to withhold votes on all members of Ring Energy's Board of Directors in the upcoming election.
In late October 2020 the Board of Directors of Ring Energy appears to have priced an offering of Ring Energy shares. Individuals who purchased shares in this offering may have been led to believe that Ring Energy intended to close the sale of its Delaware Basin assets.
It appears that after the sale of Ring Energy shares in the offering was completed, Ring Energy announced in a press release dated October 30, 2020 that the sale of the Delaware Basin assets was not going to happen. Individuals who purchased stock in the offering may have lost money because they may have purchased with the expectation of a Delaware Basin asset sale that never happened.
Furthermore, the decision of Ring Energy to sell shares appears to have heavily diluted existing shareholders.
To the best of SK Energy's and American Resources' knowledge, no full investigation of the sale of Ring Energy shares in October 2020 has yet been conducted.
SK Energy and American Resources call upon each individual shareholder and institutional shareholder of Ring Energy to examine the actions of the Board of Directors with regard to the sale of Ring Energy shares in October 2020, and also call upon the proxy advisory firms to examine the actions of the Ring Energy Board of Directors.
SK Energy and American Resources are confident that, after a careful examination of the actions of the Ring Energy Board of Directors, others will conclude that a withhold vote on all directors is warranted.