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  "docId": "019dd923-622b-71dc-a6dc-2ebffcf637e2",
  "docSlug": "ef179647d85b",
  "documentTitle": "SandRidge Energy (SD)",
  "authorId": "14_Icahn",
  "authorName": "Carl C. Icahn",
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  "sourceTypeLabel": "Activist investor",
  "presentationDate": "2018-05-24 00:00:00",
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  "pageNumber": 12,
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  "nDataPoints": 8,
  "notes": "Uses a specific case study to undermine board credibility.",
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      "kind": "callout",
      "text": "Bonanza Transaction\nEstimated NAV Accretion (Mgmt/Board): 4%\nPurchase Price: $736 million\nSources of Funds: ~50% Stock / 50% Debt\nSandRidge LTM EBITDA Multiple: 2.8x\nTEV(2) LTM EBITDA Multiple: 9.1x\nPF Leverage: ~$450 million\nOverlapping Acreage: None\nSynergies Cited in Presentations: ~$20mm (basic overhead/purchasing)\nMonths Since Bankruptcy: ~12\nMarket value lost: $100 million\nCash Termination Cost: $3.7 million",
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      "kind": "callout",
      "text": "SandRidge’s stock price immediately dropped 16%, destroying over $100 million of market value(1), but the board still argues it was a “good deal.”",
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      "text": "On November 15, 2017, SandRidge announced that it had entered into an agreement to acquire Bonanza Creek Energy in a massively dilutive and overpriced transaction. Until the surprise announcement, management's guidance had been to protect the balance sheet, reduce operating costs, generate free cash flow and develop its significant remaining inventory in the NW STACK and North Park Basin in a disciplined manner. SandRidge's stock price immediately dropped 16%, destroying over $100 million of market value(1), but the board still argues it was a \"good deal.\" Because the deal was met with overwhelming opposition from stockholders, it was terminated on December 28th.",
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      "text": "market value lost: $100 million",
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      "text": "(1) Based on SandRidge's closing price following the announcement and the volume weighted average price over the 30 days preceding the announcement (November 15, 2017).\n(2) Total Enterpriser Value (TEV), represents the transaction value of Bonanza ($736mm)",
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      "kind": "title",
      "text": "The Current Board's Track Record",
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      "text": "Bonanza Transaction",
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