Hedge fund Paulson & Co. Inc. is dropping its opposition to U.S. shale producer Callon Petroleum Company's buyout of rival Permian player Carrizo Oil & Gas.

Hedge fund Paulson & Co, a top shareholder in Callon Petroleum Co, said on Monday it would not oppose the U.S. shale producer's reduced buyout offer for Carrizo Oil & Gas Inc, while cutting its stake in the company. Billionaire investor John Paulson's hedge fund, which did not give any details on its latest shareholding, had a 9.5% stake in Callon as of Nov. 6. Paulson had earlier opposed the deal saying that a 25% premium for the acquisition was too steep and that Callon would lose its position as a Permian pure play by acquiring a company with holdings in the Eagle Ford shale region of South Texas.

In the wake of investor pressure, two Houston-based energy companies have revised the terms of their multibillion-dollar deal the same day shareholders were scheduled to vote on the acquisition.

Although the masses and most of the financial media blame hedge funds for their exorbitant fee structure and disappointing performance, these investors have proved to have great stock picking abilities over the years (that's why their assets under management continue to swell). We believe hedge fund sentiment should serve as a crucial tool of an […]

NEW YORK, Nov. 6, 2019 /PRNewswire/ -- Paulson & Co. Inc. ("Paulson"), as manager of funds holding 21.6 million shares, or 9.5% of those outstanding, of Callon Petroleum Company ("Callon" or the "Company") (CPE), today voted its Callon shares against the proposed acquisition of Carrizo Oil & Gas Inc. ("Carrizo") (CRZO). Paulson notes that Institutional Shareholder Services ("ISS") and Glass Lewis & Co. ("Glass Lewis") both recommend that Callon shareholders vote against the Company's proposed acquisition of Carrizo.

ConocoPhillips (COP) unveiled a 10-year plan that targets, among others, $50 billion in free cash flow. Meanwhile, HollyFrontier (HFC) raised its dividend by 6%.

Columbia Sportswear Company (NASD: COLM) will replace Uniti Group Inc. (NASD: UNIT) in the S&P; MidCap 400, and Uniti Group Inc. will replace Carrizo Oil & Gas Inc. (NASD: CRZO) in the S&P; SmallCap 600 prior to the open of trading on Monday, December 23. Callon Petroleum Company (NYSE: CPE) is acquiring Carrizo Oil & Gas Inc. in a deal expected to be completed soon pending final conditions. Uniti Group has a market capitalization that is more representative of the small-cap market space.

Carrizo (CRZO) delivered earnings and revenue surprises of 2.99% and -1.79%, respectively, for the quarter ended September 2019. Do the numbers hold clues to what lies ahead for the stock?

A flurry of oil and gas industry mergers in early fall buoyed what has been a quiet market for deals. Experts says its a sign of declining investor confidence even as companies producing oil and natural gas from onshore shale basins like Colorado’s Denver-Julesburg Basin set new records in production. The industry is caught between debt taken on in 2017 and 2018 as companies raced to establish growth amid high oil prices and the sudden lack of confidence in the sector now that lower oil prices have lingered and U.S. oil production continues to boom and contribute to oversupply.

Following months of opposition from one of its largest shareholders, Callon Petroleum Company has lowered its acquisition offer for rival Permian player Carrizo Oil & Gas, Inc.

After a delayed vote, both Callon Petroleum Company and Carrizo Oil & Gas, Inc. shareholders voted to approve the companies' all-stock merger Friday morning.

HOUSTON, Nov. 14, 2019 /PRNewswire/ -- Callon Petroleum Company (CPE) and Carrizo Oil & Gas, Inc. (CRZO) today announced an amendment to the existing terms of their agreement for Callon to acquire Carrizo in an all-stock transaction. Under the amended terms, Carrizo shareholders will receive 1.75 shares of Callon common stock for each share of Carrizo common stock they own. With the amended exchange ratio, Callon shareholders will own approximately 58% of the combined company and Carrizo shareholders will own approximately 42% on a fully diluted basis.

Callon Petroleum's (CPE) revised merger deal with Carrizo reduces the stock exchange ratio from 2.05 to 1.75.

NEW YORK, Nov. 18, 2019 /PRNewswire/ -- Paulson & Co. Inc. ("Paulson"), as manager of funds holding shares of Callon Petroleum Company ("Callon" or the "Company") (CPE), announced it no longer opposes the proposed acquisition of Carrizo Oil & Gas Inc. ("Carrizo") (CRZO) and will vote its shares in favor of the transaction. While Paulson believes that a pure Permian focused producer would be a more attractive alternative, Paulson respects that different shareholders might have different viewpoints on this matter. As such, although Paulson no longer opposes the transaction, it has reduced its investment position in Callon.

Moody's Investors Service ("Moody's") affirmed Callon Petroleum Company's (Callon) ratings, including its B1 Corporate Family Rating (CFR), B1-PD Probability of Default Rating (PDR) and B2 ratings on the four issues of senior unsecured notes. The outlook is stable.

The all-stock deal originally was valued at $3.2 billion, including debt, when it was announced in July. The companies revised the terms after a vocal opponent said it was voting against the deal.

HOUSTON, Nov. 20, 2019 /PRNewswire/ -- Callon Petroleum Company (CPE) ("Callon" or the "Company") and Carrizo Oil & Gas, Inc. (CRZO) ("Carrizo") today announced that proxy advisory firm Institutional Shareholder Services ("ISS"), upon review of Callon's revised offer, now recommends that Callon shareholders vote "FOR" the acquisition of Carrizo and related proposals, as put forth in the proxy supplement filed on November 18, 2019. Additionally, ISS maintained its recommendation that Carrizo common shareholders vote "FOR" the acquisition by Callon.

Callon Petroleum Company (NYSE: CPE) ("Callon") and Carrizo Oil & Gas, Inc. (NASDAQ: CRZO) ("Carrizo") today announced that both companies' common shareholders voted to approve all proposals necessary for the parties' pending all-stock transaction at today's respective special meetings held by each company. The merger is expected to close by end of business today, December 20, 2019. Under the terms of the merger agreement, Carrizo shareholders will receive 1.75 shares of Callon common stock for each share of Carrizo common stock they own.

U.S. shale producer Callon Petroleum on Thursday cut its buyout offer for rival Carrizo Oil & Gas and postponed a shareholder vote in a last ditch effort to win support for the deal. The first major shale merger since Occidental Petroleum Corp's purchase of Anadarko sent Callon's shares tumbling. Its bid was seen as a test of whether investors who have opposed shale mergers would accept an all-stock deal that promised higher earnings and cash flow.