Deals
Paulson Criticizes Executive Pay in Callon-Carrizo Oil Deal
- Billionaire opposes management compensation, synergies
- Callon shares slump 42% since deal announced in July
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Paulson & Co. reiterated its opposition to Callon Petroleum Co.’s planned takeover of rival Permian Basin crude producer Carrizo Oil & Gas Inc., this time targeting management compensation.
In a letter to the Callon board on Tuesday, along with a 54-slide presentation, Paulson took aim at what it says are $94.5 million of expenses related to the proposed deal plus as much as $40 million in compensation to management of both companies. The New York hedge fund, founded by billionaire John Paulson, has a stake of about 9.5% in Callon.