Dec 10 (Reuters) – Toby Rice and Derek Rice, who sold Rice Energy Inc to oil and gas producer EQT Corp last year, on Monday blamed the management for the company’s underperformance and pushed for a change in its operations.
The Rice brothers, who now collectively hold about seven million shares in EQT, said in a letter to the board that the company’s operational performance has translated into a severely depressed stock price that is not reflective of the underlying value of the assets.
The brothers said they were willing to work with the current board but had already identified replacements if a mutual agreement could not be reached.
EQT bought Rice Brothers for $6.7 billion in November last year in a bid to expand its natural gas business, at a time when U.S. energy firms were spending heavily to develop facilities in gas-rich states like Pennsylvania, West Virginia and Ohio.
Reporting by Debroop Roy in Bengaluru; Editing by Sriraj Kalluvila