EQT agrees to $167.5m settlement in merger lawsuit

EQT, an American energy company, has agreed to a settlement of $167.5 million in a class action lawsuit filed by investors regarding the alleged misrepresentation of the benefits of its $6.7 billion merger with Rice Energy in 2017. The details of this settlement were revealed in a federal court filing on October 31, 2023, as per Reuters.

The lawsuit, which involved plaintiffs such as the Government of Guam Retirement Fund, Eastern Atlantic States Carpenters Annuity Fund, Eastern Atlantic States Carpenters Pension Fund, and Cambridge Retirement System, focused on claims that EQT had misrepresented the advantages of the merger. The goal of the merger was to establish the company as the leading natural gas producer in the United States, marking a significant step in EQT’s efforts to expand its gas business and representing the largest deal in its history.

The plaintiffs highlighted the significance of the recovery amount of $167.5 million in cash, noting that it stands out as the most substantial securities class action recovery ever in the US District Court Western District of Pennsylvania and the 14th largest in the history of the Third Circuit, which refers to the US Court of Appeals for the Third Circuit. Following nearly six years of litigation and three mediation sessions, the settlement was reached, providing a favorable outcome for class members by offering an immediate recovery and eliminating the risk of potentially lower or no recovery.

The case, officially known as “In Re EQT Corporation Securities Litigation,” was initiated in June 2019 and was processed through the federal court website. While EQT representatives did not offer any comments on the matter, the company recently made strides in securing a deal to acquire the upstream and midstream assets of Olympus Energy for $1.8 billion in April 2025. This acquisition includes around 90,000 net acres and a production rate of 500 million cubic feet per day, signaling a significant expansion of EQT’s presence in southwest Pennsylvania.