Attention Savanna Energy Services Shareholders:
Total Energy Services is proposing to take control of Savanna without paying you a premium – just as Savanna is poised for significant value creation.
Our Board of Directors unanimously recommends you REJECT Total’s undervalued, no-premium offer as it does not provide adequate value for your Savanna shares or reflect the future potential of Savanna. Rejecting the Total Offer requires you to TAKE NO ACTION.
Total’s hostile offer does not reflect the interests of Savanna’s shareholders
Savanna has recently completed proactive financing transactions, which solidify the company’s balance sheet, reduce its risk profile, and position the company to participate in a recovery of industry conditions. Total’s offer doesn’t reflect this value.
- As of December 21, 2016, Total is offering an implied discount of 5%, when over the past five years transactions of this nature have carried a premium of approximately 40% at the time of the offer
- In previous discussions with Savanna’s management Total said that it was only interested in a “no premium” offer for Savanna
- Total also said it was not willing to participate in a process by Savanna’s Board to review alternatives
- Total’s proposed share exchange would give Savanna shareholders only a minority ownership position in the combined company, even though Savanna would contribute the vast majority of the cash flow and assets
Having received strong expressions of interest from third parties, Savanna will explore strategic alternatives with a view to maximizing value for all shareholders.
REJECT Total’s undervalued, no-premium Offer. Rejecting the Total Offer requires you to TAKE NO ACTION.
For more information contact Savanna’s information agent, D.F. King at 1-800-622-1678 or moc.g1488103990nikfd1488103990@seir1488103990iuqni1488103990