QEP - QEP Resources rallies to highest in 18 months as it objects to FANG deal

QEP Resources ([[QEP]] +6.2%) spikes as much as 17% after shareholder Glazer Capital confirmed it voted against Diamondback Energy's ([[FANG]] +4.5%) proposed takeover of the company.The current terms of the Diamondback deal "shortchange QEP shareholders due to the dramatic rise in valuations and share prices of exploration and production companies, particularly those with higher debt to equity ratios," since the merger agreement was signed in December, writes Glazer, adding that the offer potentially leaves $1.21-$2.26 of value per QEP share on the table.Glazer, which owns a 5.7% stake in QEP, notes proxy adviser ISS revised its recommendation to "cautionary," saying QEP shares likely would rise above the value of the merger consideration if shareholders reject the deal.QEP and Diamondback shares have skyrocketed, lifting QEP's market value to $1.1B while Diamondback is worth $13.3B, since the deal was announced Dec. 21.

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QEP Resources rallies to highest in 18 months as it objects to FANG deal