Business
Wilks Brothers, LLC Announces Extension of Tender Offer to Acquire Dawson Geophysical Company
FORT WORTH, Texas, Dec. 1, 2021 /PRNewswire/ -- Wilks Brothers, LLC ("Wilks"), today announced that WB Acquisitions Inc., a wholly-owned subsidiary of Wilks
About this update from Dawson Geophysical Company
[{"type":"text","content":"FORT WORTH, Texas, Dec. 1, 2021 /PRNewswire/ -- Wilks Brothers, LLC (\"Wilks\"), today announced that WB Acquisitions Inc., a wholly-owned subsidiary of Wilks (\"Merger Sub\"), has extended the previously commenced cash tender offer by Merger Sub to purchase all of the issued and outstanding shares of common stock of Dawson Geophysical Company (NASDAQ: DWSN) (\"Dawson\") to 5:00 p.m., New York City time, on December 14, 2021. \nThe tender offer was previously scheduled to expire at 11:59 p.m., New York City time, on November 30, 2021. American Stock Transfer & Trust Company, LLC, the depositary for the tender offer, has advised Wilks that, as of 6:00 p.m., New York City time, on November 30, 2021, the shares of common stock of Dawson tendered pursuant to the tender offer together with the shares owned by Wilks and its affiliates, represented approximately 66% of Dawson's outstanding shares of common stock. As set forth in the merger agreement among Wilks, Merger Sub and Dawson, the tender offer continues to seek to obtain at least 80% of Dawson's outstanding shares of common stock (together with the shares owned by Wilks and its affiliates) in order to seek a merger of Merger Sub with and into Dawson. Stockholders who have already tendered their shares of common stock of Dawson do not have to re-tender their shares or take any other actions as a result of the extension. \nWilks encourages Dawson stockholders to tender during the extension period. As previously publicly disclosed by Dawson, weak market conditions have resulted in accelerating cash burn rates, declining accounts receivable balances and minimal opportunities to further reduce costs and capital expenditures. It is Wilks' belief that Dawson, as a private entity, would be better equipped to control costs for the unknown duration of a challenging market environment. Wilks believes the tender offer price offered to stockholders of Dawson continues to be the optimal value currently available, and Wilks also believes that further delays and continuing market conditions will likely erode value for all stakeholders. As a result of potential further value erosion, Wilks believes haste is warranted to ensure the ability to deliver optimal value for stakeholders, and Wilks does not anticipate any further extensions or offer amendments beyond those contemplated by the merger ag...