By Simon Casey and Kriti Gupta
Paulson is also highlighting once again the how the proposed deal was poorly received by investors. Shares of Callon have slumped 42% since July 15, when it first announced the takeover. It closed Monday at a six-year low.
The issue of executive compensation is also getting increased scrutiny from investors in energy companies. While the U.S. shale sector has been hugely successful in boosting output over the past several years, enriching many management teams in the process, it has a poor track record of rewarding shareholders.
Callon posted its own presentation in defense of the deal, saying the combined company would be self-funded with high-margin oil growth and free cash flow generation. The takeover would be immediately accretive on all key metrics, according to the presentation. Representatives for Carrizo didn’t immediately respond to a request for comment.
Shares of Callon and Carrizo were little changed in early trading Tuesday in New York.