The CEO of a Santa Barbara County, and Denver based oil company is trying to taking it private.
Venoco’s Board of Directors says it accepted an offer of $12.50 a share from CEO Tim Marquez for the business.
Marquez already owns just over 50% of Venoco, and board members say the sale is in the best interests of minority stockholders.
However, some of the shareholders filed a lawsuit over the situation, saying a slump in the oil market means the deal would undervalue the company’s true worth.
Venoco’s stock closed on the news today at $9.99 a share, which is up almost 30%.