Short Leash at MHR. Use SandRidge (SD) as an example. They just tossed the CEO...
Covered in WSJ this morning. Hedge Fund that owns 7.3 % of SandRidge Energy (SD) and have only had an equity stake in the company for less than 24 months have ousted the CEO due to poor management. These Hedge Funds do not play games they are out to make money for the investors. If MHR does not get its act together the same can happen at MHR.
Here is a clip from WSJ:
SandRidge Energy Inc. SD -2.99% agreed to fire its chief executive or give control of its board to an activist shareholder, settling a closely watched proxy battle amid an outbreak of investor unrest in the oil patch.
SandRidge, an oil-and-gas producer with a stock-market value of about $3 billion, immediately appointed four directors to its board who were nominated by hedge fund TPG-Axon Capital LP, which owns 7.3% of its shares.
Here is a clip from Reuters:
The company has been under fire since last year from TPG-Axon and another hedge fund for governance lapses and strategic missteps. TPG-Axon, which owns 7.3 percent of SandRidge, launched a campaign to oust Ward and the company's entire board of directors.
SandRidge said that four directors nominated by TPG-Axon will be added immediately to SandRidge's board, which will engage an independent firm to review land deals by Ward and his family. Chief Operating Officer Matthew Grubb plans to resign, the company said on Wednesday, following talks with TPG-Axon.
Gary Evans has a track record selling XEC resources making people tons of money, he is already looking at simplifying the balance sheet by paying down debt, the filing to spin off eureka pipeline is already in progress per 8k filing thus by September we should get some nice monies in the new company