Delta Petroleum shareholders say 'yes' to Tracinda investment

By Lisa Kerner

Charlotte, N.C., Feb. 19 - Delta Petroleum Corp. shareholders voted to approve the company's transaction with Tracinda Corp. at a special meeting on Tuesday.

Tracinda agreed to purchase 36 million shares of Delta Petroleum's common stock for $684 million, a company news release stated.

Shareholders also approved by an "overwhelming majority" to increase the size of Delta Petroleum's board to 15 directors from 11 directors.

Following the transaction, Delta Petroleum will have a total of about 102 million shares of common stock outstanding.

The transaction is slated to close on Feb. 20.

On Dec. 31, Tracinda announced it would acquire 35%, of Delta Petroleum's common stock priced at $19 per share.

As previously reported, the investment gives Tracinda the right to nominate members to Delta Petroleum's board of directors on a pro rata basis reflecting its share ownership.

Tracinda is a privately held Nevada corporation wholly owned by Kirk Kerkorian.

Denver-based Delta Petroleum is an oil and gas exploration and development company.

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