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Press release content from Business Wire. The AP news staff was not involved in its creation.

Fir Tree Comments on Halcón CEO Departure, Renews Call for Sale of Company

February 22, 2019

NEW YORK--(BUSINESS WIRE)--Feb 22, 2019--Fir Tree Capital Management LP (“Fir Tree”), manager of certain funds that together have economic exposure to approximately 7.2% of the common stock of Halcón Resources Corporation (“Halcón” or “the Company”) (NYSE:  HK ), today issued the following statement regarding the Company’s February 21 st announcement of management and board changes, including the departure of Chief Executive Officer, President, and Director Floyd C. Wilson, and commitment to reduce G&A costs:

“We are encouraged that Halcón is following our recommendations by enacting changes at the senior management and board level and significantly reducing G&A – with a particular focus on cutting excessive executive compensation costs. In our view, these are important first steps towards realizing increased value for the Company’s shareholders and we commend the Board for these actions.

However, we continue to believe that there is more work to do to maximize shareholder value, which is highlighted by Halcón’s stock trading down since this announcement. These steps include the addition of new independent directors to help oversee a strategic process to sell the Company for cash and/or stock, as outlined in our February 4 thletter to the Halcón Board of Directors and accompanying presentation.

The market’s negative reaction to Halcón’s announcement, in our view, only underscores the fact that these additional steps are needed, and reflects worries among investors that the Company may now be recruiting a new management team focused on operations instead of pursuing a sale of the Company for cash or stock. We believe Halcón has an ideal opportunity at this point to initiate a sale process and we look forward to engaging with the Company in the near-term to continue to discuss our perspective and concerns.”

About Fir Tree Partners

Fir Tree Partners, founded in 1994 and located in New York City (HQ) and Miami, is a value-oriented investment manager that manages private investment funds for endowments, charitable and philanthropic foundations, pension funds and other institutional and private investors.

Warning Regarding Forward Looking Statements

This press release contains forward looking statements. Forward looking statements can be identified by use of words such as “outlook,” “believe,” “intend,” “expect,” “potential,” “will,” “may,” “should,” “estimate,” “anticipate,” and derivatives or negatives of such words or similar words. Forward looking statements in this press release are based upon present beliefs or expectations. However, forward looking statements and their implications are not guaranteed to occur and may not occur as a result of various risks, reasons and uncertainties. Except as required by law, Fir Tree Capital Management LP and its affiliates and related persons undertake no obligation to update any forward looking statement, whether as a result of new information, future developments, or otherwise.

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Dan Zacchei / Joe Germani

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SOURCE: Fir Tree Partners

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PUB: 02/22/2019 12:42 PM/DISC: 02/22/2019 12:42 PM