Flotek Industries, Inc. (NYSE: FTK)

This lawsuit is for anyone who acquired securities in Flotek Industries, Inc. (NYSE: FTK) from August 3, 2026 through August 17, 2026.

The lawsuit alleges that the Company and certain of its executives violated federal law. Specifically, the lawsuit alleges that, throughout the time period mentioned above, the Company misled investors regarding its financial condition. More specifically, the lawsuit alleges that, throughout the time period mentioned above, the Company misled investors by telling investors that the Company did due diligence in entering into contracts but then by failing to perform due diligence in entering into a contract with a local partner, Power Expectations LLC, to provide power to the Puerto Rico Electric Power Authority. The Company further misled investors when it failed to timely inform investors that federal regulators had canceled their authorization for the project due to fraud.

On August 17, 2026, Wolfpack Research published a report alleging Flotek has “yet to disclose to investors that their $400 million contract with the Puerto Rico Electric Power Authority (PREPA), accounting for ~57% of FTK’s backlog, has been canceled.” The report further alleged a “federally appointed financial regulator revoked its authorization over the deal due to an apparent unauthorized signature and referred the matter for criminal prosecution.” On this news, the price of the Company’s stock dropped precipitously on unusually heavy trading volume. Then, on August 18, 2026, before the market opened, the Company announced the Financial Oversight and Management Board for Puerto Rico voted to direct the Puerto Rico Electric Power Authority to terminate a 10-year power generation contract in which Flotek holds project responsibilities. PREPA issued a directive to all consortium parties to immediately hold work on the proposed 400 MW Aguirre Power Plant project pending its evaluation of recent developments, although Flotek said it has not received a formal termination notice and its participation in the project remains subject to resolution of the PREPA contract matter. On this news, the price of the Company’s stock again dropped precipitously on unusually heavy trading volume. Finally, on August 19, 2026, before the market opened, Flotek confirmed the termination of the Puerto Rico power contract. The Company disclosed that the Puerto Rico Electric Power Authority delivered formal notice terminating the power purchase and operating agreement with the company, effective immediately. On this news, the price of the Company’s stock again dropped precipitously on unusually heavy trading volume.

The Law Offices of Howard G. Smith seeks to recover damages on behalf of class members. If you acquired securities in Flotek Industries, Inc. (NYSE: FTK) from August 3, 2026 through August 17, 2026 you may join the lawsuit by submitting your information online, or you may call the Law Offices of Howard G. Smith and speak to Mr. Smith directly to learn how he can protect your rights.