According to the Complaint, Solaris Energy Infrastructure, Inc. provides equipment used in the completion of oil and natural gas wells in the United States. On July 9, 2024, Solaris announced that it has entered into an agreement to acquire Mobile Energy Rentals LLC (“MER”). Solaris completed the MER acquisition on September 11, 2024, in exchange for approximately $60 million in cash consideration, approximately 16.5 million in shares, and repayment of approximately $71 million in MER’s debt (the “Acquisition”). This class action was filed against Solaris and two of its Officers.

The Complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, the Complaint alleges Defendants failed to disclose to investors that: (1) MER had little to no corporate history in the mobile turbine leasing space; (2) MER did not have a diversified earnings stream; (3) MER’s co-owner was a convicted felon associated with multiple allegations of turbine-related fraud; (4) as a result, Solaris overstated the commercial prospects posed by the Acquisition; (5) Solaris inflated profitability metrics by failing to properly depreciate its turbines; and (6) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.