Jana Partnners has taken a large position essentially telling APA to sell-off more non-core assets and improve cash flow. This has all of the makings of a takeover or eventually putting the company up for sale. Activists normally don't go away taking a cup of coffee and donut.
Yep. WSJ reports:
"Activist investor Jana Partners LLC has built a stake worth more than $1 billion in Apache Corp. APA -0.02% , and is calling for the oil and gas producer to exit some of its most expensive projects to free up cash flow.
'Investors are unimpressed by [Apache]'s global diversification and have voted with their feet,' Jana said in a letter to its investors Monday that was reviewed by The Wall Street Journal. The hedge fund noted the company's poor performance compared to that of its rivals.
Houston-based Apache has already taken steps in line with Jana's goals, raising billions of dollars in recent years by selling properties around the globe. The company has spent more than $2 billion buying its own stock in the last year, and its board recently authorized more share repurchases.
An Apache spokesman had no comment. Apache shares were up more than 4% after hours Monday.
Bloomberg News first reported on Jana's position."