Bonanza Creek Energy terminates $746 million merger with SandRidge Energy
After consultation with SandRidge’s largest shareholders, SandRidge’s Board of Directors concluded that it would not receive approval for the transaction at its planned special meeting.
An agreement between Bonanza Creek and SandRidge was then reached to mutually terminate the merger agreement.
As part of the mutual termination agreement, SandRidge will reimburse Bonanza Creek for transaction-related expenses up to $3.7 million.
Chairman Jack Vaughn stated, "While we are disappointed with this result, we are very pleased with the progress that Bonanza Creek has made this year and will continue to focus on developing Bonanza Creek’s assets and maximizing value for our shareholders.
"Given the competence and dedication of our team, the high quality of our assets, our strong balance sheet, and our strategic flexibility, we look forward to this effort.
"We intend to provide an operational update, along with an announcement of our 2018 capital program and guidance, in January." ■