No buyer found for CVR

Sugar Land, Texas—CVR Energy Inc. said July 26 that the previously disclosed 60-day sale process to solicit acquisition proposals from third parties to acquire the stock and assets of CVR as an entirety ended July 23, 2012, without the receipt of a bona fide offer. CVR said its financial adviser, Jefferies & Co. Inc., contacted over 30 potential bidders, including independent refining companies and private equity firms, of which four signed confidentiality agreements. CVR received one indication of interest, which CVR and Jefferies did not believe to be credible. CVR did not incur any fees or expenses during the 60-day period in connection with the sales process. As announced at the time of its tender offer for CVR shares, Icahn Enterprises LP, the owner of approximately 82 percent of CVR, does not currently intend to seek to sell CVR. Icahn Enterprises intends to focus on operating CVR’s business for the benefit of its stockholders because it believes that continual shopping of CVR could be disruptive to its operations. Icahn has left Jack Lipinski, CVR chairman and CEO, in charge of the company and has kept him on the board of directors, though previous board members have been replaced. At the time he completed his tender offer for CVR shares, Icahn stated that in order to reach a peaceful conclusion he agreed with the company to engage an investment banker to seek to sell the company at a price higher than the tender price, although at the time he stated that he did not believe such an offer would be forthcoming. Icahn also stated that he is quite happy with the current performance of the company and believes fully in its future success. If a sale of CVR is executed prior to Aug. 18, 2013, those receiving $30 per share from Icahn would also receive contingent value rights for the amount over $30.