Settlement Reached with Defendants for $17 million.

Labaton Keller Sucharow is Co-Lead Counsel in a class action litigation alleging breaches of fiduciary duty against directors and officers of Atlas Energy Solutions, Inc. (Atlas or the Company) pertaining to a conflicted reclassification transaction that closed in October 2023 (the Reclassification).  The lawsuit was filed on June 27, 2024 and alleges that the Reclassification unfairly conferred significant tax benefits on Atlas’s controlling stockholders and harmed the company and its minority stockholders by depriving them of future expected tax benefits.  Atlas conducted an initial public offering (IPO) of its Class A common stock in March 2023 utilizing an umbrella partnership C (Up-C) structure, which was intended to provide the Company with significant tax savings over time.  However, within a month of the company’s IPO, Atlas management began exploring ways to collapse the Up-C structure so that the Company’s controlling stockholders could capture the tax benefits for themselves, at the expense of minority investors and the Company.  The lawsuit further alleges that the process leading to the Reclassification was deeply flawed.  A special committee was formed but was conflicted and not fully empowered to reject the Reclassification or pursue other alternatives.  Rather than adequately representing the interests of the Company’s minority stockholders, the Special Committee allowed the controlling stockholders to pursue their unique interests unchecked, including by failing to retain an independent financial advisor.    

In early September 2026, the parties reached an agreement to settle the matter for $17 million, pending Court approval. 

The case is Ayers v. Brigham, et al., C.A. No.  2024-0694-JTL, pending in the Delaware Court of Chancery.  Labaton Keller Sucharow is Co-Lead Counsel representing Plaintiff Patrick Ayers. 

Settlement Hearing

The Court will hold the Settlement hearing on December 18, 2026 at 1:30 pm at Leonard L. Williams Justice Center, 500 North King Street, Wilmington DE 19801.  At the Settlement Hearing, the Court will determine whether to approve the Settlement, counsel’s fee and expense application, and the plan of allocation of settlement funds to the Class. 

No Claim Forms

There is no claim form process for this Settlement.  If you are a member of the Class, your pro rata share of settlement consideration will be automatically distributed to you either directly by the Settlement Administrator (by check via mail) or by your bank or financial institution.

If you have questions about the Settlement, please contact Labaton Keller Sucharow LLP at settlementquestions@labaton.com, 888-219-6877, or contact the Settlement Administrator at 833-453-3574.  Additional information about the Settlement can be found at www.AtlasStockholderClassActionLitigation.com.