Carl Icahn believes Occidental Petroleum badly overpaid for oil driller Anadarko Petroleum. Now, he wants four Occidental directors to pay for that controversial deal — with their jobs.
The famed activist investor officially declared war on Occidental’s () board on Thursday byfiling the paperwork required to begin the process of ousting and replacing a chunk of the board of directors.
Icahn, whose firm owns a 4.4% stake in Occidental valued at $1.7 billion, named a slate of four potential replacements, including two executives from his own firm.
The flashpoint is Occidental’s bidding war with well-heeled Chevron () for Anadarko, a shale driller with prime position in the West Texas Permian Basin. Rather than meet Occidental’s hostile offer, Chevron walked away from its merger agreement.
Anadarko () and Occidental reached a deal in May valued at the time at $57 billion, including debt. Chevron’s deal was originally valued at about $48 billion, including debt.