TPG-Axon Sends Second Letter to SandRidge Board, Announces Intent to Replace Current Directors
TPG-Axon, beneficial owners of 6.5% of the outstanding shares of SandRidge Energy, Inc. (NYSE: SD), sent a second letter today to SandRidge's Board of Directors.
In the letter, TPG-Axon reiterated its desire to run a process to restructure or sell the Company, responds to SandRidge's third quarter earnings announcement and provides greater detail on the market's loss of confidence in management based on their poor strategy and structural challenges including staggering overhead costs.
TPG-Axon also notified SandRidge (NYSE: SD) of its intent to conduct a consent solicitation of shareholders to amend the bylaws of SandRidge to:
* de-stagger the board of directors; * provide that directors be removed with or without cause; and, * remove and replace the current board of directors.
“We would emphasize and re-iterate that the time has come for change, and for a focus on delivering shareholder value,” said Dinakar Singh, founder and CEO of TPG-Axon. “We continue to believe that SandRidge stock is dramatically undervalued, and that a sensible restructuring or sale of the Company could provide dramatic upside for shareholders.”
TPG-Axon is separately sending a formal request that SandRidge set a record date for this consent solicitation, and a demand to exercise TPG-Axon's rights as shareholders to inspect the shareholder list.
TPG-Axon has retained Mackenzie Partners Inc. to act on its behalf in the solicitation process.
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