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TPG-Axon outlines SandRidge strategies

SandRidge shareholder TPG-Axon has spelled out five strategies it says will help restore value for shareholders.
Modified: February 15, 2013 at 6:38 pm •  Published: February 16, 2013

Sell extraneous assets. The shareholder has asked the company to reduce debt and raise cash by selling more noncore assets. TPG-Axon has been especially critical of SandRidge's purchase last year of Gulf of Mexico oil producer Dynamic Offshore Resources LLC.

Reduce future funding needs. TPG-Axon said SandRidge has acquired more Mississippi Lime acreage in northern Oklahoma and western Kansas than it can develop. The shareholder has asked the company to either sell or develop joint ventures to help it reduce the cost of producing the large area.

Consider a full sale of the company. “While we do not believe a sale of the company is required to create significant value for shareholders, we do believe it is an option that the board should carefully consider,” TPG-Axon said in its stockholder solicitation.