Denbury Resources Falls Victim to a Fraudulent Buyout Press Release
Shares of Denbury Resources (NYSE: DNR) spiked in pre-market trading on Monday morning after a press release that seemed to be from the company stated that it was evaluating an acquisition proposal. That press release turned out to be fraudulent, according to the company.
The initial press release stated that Denbury "received an official offer for corporate buyout at $1.2 a share," which was more than five times its closing price last Friday. The release did not reveal who made the offer. It only stated that it expected the deal to be successful and the agreement would allow Denbury to continue as a going concern by providing additional liquidity to cover its missed interest payments.
Image source: Getty Images.
Source Fool.com
