Soreide Law Group is reviewing possible claims against securities brokers and financial advisors who may have recommended bonds issued by PHI, Inc. (OTC: PHIKQ, PHIIQ) – a Lafayette, Louisiana-based helicopter services company which emerged from Chapter 11 bankruptcy in September 2019.
Who Is PHI, Inc.?
PHI, Inc. was founded in 1949 and employs approximately 2,200 people. Apparently, the company operates in the United States and 43 other countries. Mainly, PHI, Inc. provides transportation services to offshore Oil and Gas, onshore mining, Air Medical, International, and Technical Services industries. For the most part, PHI, Inc. deals with offshore operations in the Gulf of Mexico and throughout the world.
PHI, Inc. Files For Bankruptcy
Evidently, PHI, Inc. has experienced significant volatility due to declines in the oil and gas industry, so much so that it reported more than $11,000,000 in losses by Q3 2018. By March 2019, a time when $500,000,000.00 in its bonds were due to mature, the company filed for Chapter 11 bankruptcy.
A debt restructuring process and reorganization plan ensued which by September 2019 resulted in the company emerging from bankruptcy. As a result, the company shedded $500,000,000.00 in debt. Prior unsecured creditors became the sole owners of the company’s equity subject to dilution relating to future stock issuances. The company’s CEO, Al A. Gonsoulin, has been ousted as a result of the bankruptcy.
Brokers, Advisors Possibly Sold Unsuitable, Misrepresented Bonds
Securities brokers and financial advisors who recommend investments to their clients are required to disclose important information including risks. Also, these professionals are typically only allowed to recommend those investments which match their clients’ investor profiles. It is possible that some securities brokers and financial advisors recommended or sold PHI, Inc. bonds at a time when they were too risky for certain investors based on their risk tolerance. Moreover, these professionals could have misrepresented or omitted facts about risks of PHI, Inc.
Losses On PHI, Inc. Bonds?
Have you experienced losses because of purchasing PHI, Inc. bonds from your securities broker or financial advisor? If so, contact Soreide Law Group at (888) 760-6552 and speak with experienced counsel about a possible recovery of your investment losses. Soreide Law Group represents clients on a contingency fee basis and advances all costs. The law firm has recovered millions of dollars for clients who have suffered losses due to misconduct of brokers and brokerage firms.