TPG-Axon, the beneficial owner of 6.7% of the outstanding shares of SandRidge Energy, Inc. (NYSE: SD) (the “Company”), today began mailing consent solicitation materials to SandRidge stockholders, including a letter urging stockholders to support TPG-Axon in its consent solicitation.
The letter outlines why TPG-Axon believes sweeping changes need to take place at the Company to maximize shareholder value. TPG-Axon urges SandRidge stockholders to vote the GREEN consent card in favor of its proposals to amend the Company’s bylaws and replace SandRidge’s entire Board of Directors with its slate of highly qualified director nominees.
TPG-Axon’s proxy solicitor, MacKenzie Partners, has mailed these consent solicitation materials to certain SandRidge stockholders who were stockholders of record as of December 13, 2012. TPG-Axon requests stockholders return their signed and dated GREEN consent cards by February 28, 2013, to ensure that their consent cards are received by SandRidge prior to March 15, 2013, the deadline for submitting consents. TPG-Axon also requests that stockholders refrain from returning the white consent card issued by SandRidge.
For information on TPG-Axon’s proposals and on the process for voting shares in favor of those proposals, go to www.shareholdersforsandridge.com.A full copy of TPG-Axon’s letter to SandRidge stockholders can be found below: Dear Fellow SandRidge Energy Stockholders: We are among the largest stockholders of SandRidge, with ownership of 6.7% of the common stock. We believe SandRidge shares are significantly undervalued, and significant appreciation is realistic in the medium term under the right circumstances. However, we believe change is necessary to achieve this value. The current depressed level of the stock is not an accident – it reflects the destruction of value under current management, and the failure of the current directors to prevent leakage of value from stockholders. Fortunately, we believe the company still has significant asset value. However, we believe it will be difficult to realize that value if the company’s strategy shifts repeatedly and abruptly, overhead spending drains significant value from shareholders, and management incentives and behavior repeatedly conflict with shareholder interests. It is time for change – the company must dramatically streamline, simplify and focus in order to build value for shareholders. However, that change must begin at the top - please join us in replacing the current directors with directors who will serve stockholder interests.