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Obsidian Energy rejects criticism from big shareholder

Published 01/18/2018, 02:49 PM
© Reuters.  Obsidian Energy rejects criticism from big shareholder
OBE
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  • Obsidian Energy (OBE -0.8%) is little changed after rejecting criticism by 5.7% shareholder FrontFour Capital that it is moving too slowly to develop certain assets.
  • In its defense, OBE says it has been "organically growing the company through the combination of sustaining a low decline production base and leveraging significant development optionality... Operational successes, along with our highly capital efficient 2018 plans, are a product of robust capital planning."
  • FrontFour threatened a proxy fight in a letter sent yesterday, after "it became apparent to FrontFour during our negotiations that the Board is divided on strategy and that certain directors are entrenched."
  • Now read: Obsidian Energy: 2017 Production Update/Outlook Remains Muted


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