Activist Investor Elliot Management seeks to torpedo $5B Chevron-Noble deal


In July, Chevron announced its agreement to acquire Noble in an all-stock transaction valued $5 billion or $10.38 per share. The California-based multinational energy company stated that Noble’s offshore assets will strengthen its position in the Eastern Mediterranean.

One of Noble’s investors, David Walsh is not happy with the acquisition deal. In August, he sued the oil and gas producer’s Board of Directors for allegedly breaching their fiduciary duties by filing an incomplete registration statement with the Securities and Exchange Commission (SEC).

Walsh’s suit is set for an initial conference in the U.S. District Court of the Southern District of New York before Judge Katherine Polk Failla on Nov. 18, 2020.

On September 4, Elliott disclosed that it acquired a stake in Noble through the website of the Federal Trade Commission (FTC), which granted its request for early termination under the Hart-Scott-Rodino (HSR) Act. The law requires investors to file a notification and report form when they acquire shares above a certain dollar threshold and seeks to engage in discussions or negotiations regarding issues such as strategy or management changes.