To: GeoResources, Inc. Warrant Holders From: Howard E. Ehler Chief Financial Officer RE: Treatment of GeoResources, Inc. Warrants in Context of Merger with Halcón Resources CorporationMerger Agreement • June 25th, 2012 • Georesources Inc • Crude petroleum & natural gas
As you may be aware, on April 24, 2012, GeoResources, Inc., (“GeoResources”), entered into a definitive merger agreement (“merger agreement”) with Halcón Resources Corporation (“Halcón”), Leopard Sub I, Inc., a wholly-owned subsidiary of Halcón (“Merger Sub”), and Leopard Sub II, LLC, a wholly-owned subsidiary of Halcón (“Second Merger Sub”), pursuant to which Merger Sub will merge with and into the Company, with the Company surviving as a direct wholly owned subsidiary of Halcón, and shortly thereafter the Company will merge with and into Second Merger Sub, with Second Merger Sub surviving as a direct wholly owned subsidiary of Halcón. The per share consideration to be paid to GeoResources’ stockholders is fixed in the merger agreement at (i) $20.00 in cash and (ii) 1.932 shares of Halcón common stock for each issued and outstanding share of GeoResources’ common stock. Any outstanding and unexercised warrants to purchase GeoResources common stock such as those held by you will be assu
