(Reuters) – SandRidge Energy Inc’s best shareholder and activist investor Carl Icahn blasted the oil and fuel corporate’s move to undertake a poison pill plan amid sturdy opposition to its $746 million bid for Bonanza Creek Energy Inc.
In a letter to SandRidge’s board, Icahn known as the proposed deal “value-destroying” and mentioned the shareholder rights plan followed previous this week used to be designed to stop huge shareholders from campaigning towards the deal. (bit.ly/2nllDjs)
“On November 26, 2017, in direct response to this strong shareholder opposition to the proposed acquisition, you adopted a poison pill that is a complete travesty and represents a new low in corporate governance.” Icahn mentioned within the letter on Thursday.
Icahn’s letter comes every week after he disclosed a 13.five % stake in SandRidge and joined different primary shareholder Fir Tree Partners in opposing a move that they mentioned would drain all the corporate’s money.
While Icahn mentioned he isn’t recently taking any motion towards the corporate, he is thinking about in search of proxies from shareholders to vote towards the Bonanza deal and could also be ready to begin litigation.
SandRidge used to be now not straight away to be had for remark.
SandRidge’s stocks had been up 1.five % at $18.39. Bonanza Creek stocks had been marginally up.
Reporting through John Benny in Bengaluru; Editing through Maju Samuel