Sandridge Petroleum has made an all-stock purchase offer to bigger rival SandRidge Energy, in a move aimed at placating major Midstates shareholder Carl Icahn and Fir Tree Partners, which owns a stake in both companies. The proposal would give Midstates shareholders 60% control, but Sandridge CEO David Sambrooks would be in charge "which implies SandRidge’s management and board would be unlikely to survive the merger”, said Mizuho analyst Timothy Rezvan. Both companies, which have holdings in the Mississippian Lime shale formation, declined to comment.
Midstates Petroleum has made an all-stock purchase offer to bigger rival SandRidge Energy, in a move aimed at placating major Sandridge shareholder Carl Icahn and Fir Tree Partners, which owns a stake in both companies. The proposal would give Sandridge shareholders 60% control, but Midstates CEO David Sambrooks would be in charge "which implies SandRidge’s management and board would be unlikely to survive the merger”, said Mizuho analyst Timothy Rezvan. Both companies, which have holdings in the Mississippian Lime shale formation, declined to comment.