Berger Montague files Flotek securities class action over Puerto Rico power contract
Berger Montague said it filed a securities class action against Flotek Industries over disclosures tied to a Puerto Rico power contract that was later terminated.
Berger Montague said it filed a securities class action against Flotek Industries Inc. on behalf of investors who bought or acquired the company’s shares between Aug. 3 and Aug. 17, 2026, over disclosures related to a $400 million Puerto Rico power contract that was later terminated.
The firm said the case centers on whether Flotek and certain officers made false or misleading statements, or omitted material facts, about a 10-year contract with the Puerto Rico Electric Power Authority for a 400-megawatt power generation project. The alleged disclosure problems, the firm said, came as the contract drew market-moving reports and company updates in mid-August.
Berger Montague said Wolfpack Research published a report on Aug. 17, 2026, at about 1:20 p.m. ET alleging the PREPA contract had been canceled and had been in serious jeopardy. The release said the report also alleged Flotek stepped into the deal two days after it was first signed, replacing Enchanted Rock LLC, and that a federally appointed financial regulator had revoked authorization for the deal and referred the matter for criminal prosecution.
The release said the contract represented about 57% of Flotek’s backlog. It said Flotek shares fell 20.01% on Aug. 17, closing at $28.66.
Berger Montague said Flotek confirmed before the market opened on Aug. 18 that the Financial Oversight and Management Board for Puerto Rico had voted to direct PREPA to terminate the contract. The notice said PREPA also directed consortium parties to immediately stop work on the project pending evaluation. Flotek stock fell another 5.72% that day to close at $27.02, the release said.
The firm said Flotek confirmed termination of the Puerto Rico power contract before the market opened on Aug. 19. Shares fell 6.85% that day to close at $25.17, according to the notice.
Flotek is based in Houston and describes itself as a chemistry and data technology company serving the energy industry with near real-time data analytics and chemistry solutions, the release said.
Berger Montague said investors who bought or acquired shares during the class period may be eligible to seek appointment as lead plaintiff.
The firm said the deadline to apply for lead plaintiff is Oct. 26, 2026. It also said class members who do not apply may still participate in any recovery without taking action before that date.
Berger Montague’s notice did not include a response from Flotek to the lawsuit allegations. The firm provided contact information for Andrew Abramowitz and Caitlin Adorni.
The next deadline in the case is Oct. 26, 2026, for investors to apply for lead plaintiff.
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