10:34 AM EDT, 03/28/2024 (MT Newswires) -- SilverBow Resources ( SBOW ) said Thursday that a potential deal between the company and Kimmeridge Texas Gas proposed by Kimmeridge Energy Management "substantially undervalues" SilverBow.

"The [SilverBow board] believes it is vital to conduct due diligence on Kimmeridge Texas Gas, as the board and shareholders need relevant information to determine the actual value, not Kimmeridge's assertion of value, of the KTG assets," SilverBow said.

On March 13, Kimmeridge, which is a SilverBow shareholder, said that the KTG assets have an equity value of $1.1 billion and an expected enterprise value of $1.4 billion at the completion of the proposed deal.

SilverBow also said that it is urging its shareholders to vote for its proposed slate of directors over Kimmeridge's "conflicted nominees" and against the proposal to remove Lee Jourdan as a director.

Kimmeridge didn't immediately respond to a request for comment from MT Newswires.

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