Activist investor Carl Icahn is suing Occidental Petroleum Corp. OXY over a "misguided" Anadarko Petroleum Corp APC deal, according to Reuters reports.
What To Know
Occidental has acquired some of the richest shale oilfields and recently fought off rival Chevron Corp CVX in a bidding war to acquire Anadarko Petroleum.
Icahn has built a $1.6-billion position in Occidental and may seek a "special meeting" to remove and replace board members over this deal, according to a lawsuit filed Thursday.
The lawsuit has been filed in Delaware by a group of Icahn companies and is calling Occidental's recent agreement to purchase Anadarko for $38 billion "fundamentally misguided and hugely overpriced."
What's Next
Reuters reported Icahn may seek a meeting of shareholders to remove and replace directors. He believes Occidental should have been a seller rather than a buyer in the current market.
Occidental's stock traded lower at $51.84 per share Thursday afternoon. Anadarko Petroleum was little changed at $71.23 per share.
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