Kimmeridge withdraws nominees to SilverBow's board (updated)
22/05/2024 13:19
(Adds details on the deal and background in paragraphs 2-6)
May 22 (Reuters) - Kimmeridge Energy Management said on
Wednesday it has withdrawn its independent nominees to
SilverBow Resources' SBOW.N board of directors in light of the
company's pending sale to Crescent Energy CRGY.N .
Last week, oil and gas producer Crescent Energy agreed to
buy rival SilverBow for $2.1 billion, a deal which would create
the second-largest operator in the Eagle Ford basin in south
Texas.
The deal came after SilverBow faced a challenge from its
largest shareholder, Kimmeridge, which had sought to buy the
company and was aiming to unseat three current directors and
install its own nominees at SilverBow's upcoming annual
shareholder meeting.
Kimmeridge holds a 12.85% stake in SilverBow, according to
LSEG data.
"While we are disappointed that SilverBow's board does not
appear to have run a comprehensive sales process, our campaign
was always underpinned by a strong belief that consolidation is
in the best interests of shareholders," said Ben Dell,
co-founder and managing partner of Kimmeridge.
Dell said the proposed sale of SilverBow obviates the need
for board change at this time.
SilverBow did not immediately respond to a Reuters request
for comment.
(Reporting by Arunima Kumar in Bengaluru; Editing by Shilpi
Majumdar)
((Arunima.Kumar@thomsonreuters.com; Twitter: https://twitter.com/Aru_Kumar94
;))