ALY Allis-Chalmers Energy

Tripp Levy PLLC announces an investigation into the proposed acquisition of Allis-Chalmers Energy Inc. (NYSE: ALY). On August 13, 2010, Seawell Limited (NOTC:SEAW) and Allis-Chalmers Energy Inc. (NYSE:ALY) announced that the companies have entered into a merger agreement providing for the acquisition of Allis-Chalmers by Seawell in a transaction valued at approximately $ 890 million (including assumed debt). Under the agreement, Allis-Chalmers stockholders will have the right to elect to receive $ 4.25 in cash or 1.15 Seawell common shares for each share of Allis-Chalmers common stock, subject to proration. In addition, Lime Rock Partners, which owns approx. 27.5% of Allis-Chalmers’ shares said that it will vote in favor of the transaction and that it will vote against any competing transaction.

The investigation concerns, among other things, whether the consideration to be paid to Allis-Chalmers shareholders is grossly unfair, inadequate, and substantially below the fair or inherent value of Allis-Chalmers. Indeed, analysts have projected that the company’s inherent value is approx. $7 per share. The investigation further concerns whether the directors of Allis-Chalmers may have breached their fiduciary duties by not acting in Allis-Chalmers shareholders' best interests in connection with the sale process of Allis-Chalmers.

If you own Allis-Chalmers common stock and you wish to discuss this matter with us, or have any questions concerning your rights and interests with regard to this matter, please contact

Tripp Levy Tripp Levy PLLC 125 East 82nd Street 9th Floor New York, New York Toll Free: 877-772-3975

Email: contact@tripplevy.com

Tripp Levy PLLC is a national law firm that specializes in mergers & acquisitions, takeover litigation, shareholder rights, and corporate governance matters in state and federal courts throughout the United States.

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