0001193125-20-040611.txt : 20200218 0001193125-20-040611.hdr.sgml : 20200218 20200218170455 ACCESSION NUMBER: 0001193125-20-040611 CONFORMED SUBMISSION TYPE: SC 13D/A PUBLIC DOCUMENT COUNT: 3 FILED AS OF DATE: 20200218 DATE AS OF CHANGE: 20200218 GROUP MEMBERS: GEORGE G. HICKS GROUP MEMBERS: VARDE FUND VI-A, L.P. GROUP MEMBERS: VARDE FUND XI (MASTER), L.P. GROUP MEMBERS: VARDE FUND XI G.P., LLC GROUP MEMBERS: VARDE FUND XII (MASTER), L.P. GROUP MEMBERS: VARDE FUND XII G.P., L.P. GROUP MEMBERS: VARDE FUND XII UGP, LLC GROUP MEMBERS: VARDE INVESTMENT PARTNERS (OFFSHORE) MASTER, L.P. GROUP MEMBERS: VARDE INVESTMENT PARTNERS G.P., L.P. GROUP MEMBERS: VARDE INVESTMENT PARTNERS, L.P. GROUP MEMBERS: VARDE PARTNERS, L.P. GROUP MEMBERS: VARDE SKYWAY FUND G.P., L.P. GROUP MEMBERS: VARDE SKYWAY FUND, L.P. GROUP MEMBERS: VARDE SKYWAY MINI-MASTER FUND, L.P. SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: LILIS ENERGY, INC. CENTRAL INDEX KEY: 0001437557 STANDARD INDUSTRIAL CLASSIFICATION: CRUDE PETROLEUM & NATURAL GAS [1311] IRS NUMBER: 743231613 FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A SEC ACT: 1934 Act SEC FILE NUMBER: 005-85425 FILM NUMBER: 20626224 BUSINESS ADDRESS: STREET 1: 201 MAIN STREET STREET 2: SUITE 700 CITY: FORT WORTH STATE: TX ZIP: 76102 BUSINESS PHONE: 8175859001 MAIL ADDRESS: STREET 1: 201 MAIN STREET STREET 2: SUITE 700 CITY: FORT WORTH STATE: TX ZIP: 76102 FORMER COMPANY: FORMER CONFORMED NAME: RECOVERY ENERGY, INC. DATE OF NAME CHANGE: 20091104 FORMER COMPANY: FORMER CONFORMED NAME: UNIVERSAL HOLDINGS INC DATE OF NAME CHANGE: 20080612 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: VARDE PARTNERS INC CENTRAL INDEX KEY: 0001054846 FILING VALUES: FORM TYPE: SC 13D/A BUSINESS ADDRESS: STREET 1: 3600 WEST 80TH STREET STREET 2: STE 225 CITY: MINNEAPOLIS STATE: MN ZIP: 55431 MAIL ADDRESS: STREET 1: 3600 WEST 80TH STREET STREET 2: STE 225 CITY: MINNEAPOLIS STATE: MN ZIP: 55431 SC 13D/A 1 d852556dsc13da.htm SC 13D/A SC 13D/A

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

SCHEDULE 13D

under the Securities Exchange Act of 1934

(Amendment No. 11)

 

 

LILIS ENERGY, INC.

(Name of Issuer)

Common Stock, Par Value $0.0001

(Title of Class of Securities)

532403201

(CUSIP Number)

David A. Marple

Värde Partners, Inc.

901 Marquette Ave. S, Suite 3300

Minneapolis, MN 55402

(952) 893-1554

(Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications)

Copies to:

Julian J. Seiguer

Kirkland & Ellis LLP

609 Main Street

Houston, TX 77002

(713) 836-3600

February 17, 2020

(Date of Event which Requires Filing of this Statement)

 

 

If the filing person has previously filed a statement on Schedule 13G to report the acquisition that is the subject of this Schedule 13D, and is filing this schedule because of §§240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the following box. ☐

 

 

Note: Schedules filed in paper format shall include a signed original and five copies of the schedule, including all exhibits. See §240.13d-7 for other parties to whom copies are to be sent.

 

 

 

*

The remainder of this cover page shall be filled out for a reporting person’s initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing information which would alter disclosures provided in a prior cover page.

The information required on the remainder of this cover page shall not be deemed to be “filed” for the purpose of Section 18 of the Securities Exchange Act of 1934, as amended (“Securities Exchange Act”) or otherwise subject to the liabilities of that section of the Securities Exchange Act but shall be subject to all other provisions of the Securities Exchange Act (however, see the Notes).

 

 

 

CUSIP No. 532403201    Page 2 of 20

 

  (1)   

Name of reporting person

 

The Värde Fund XI (Master), L.P.

  (2)  

Check the appropriate box if a member of a group (see instructions)

(a)  ☐        (b)  ☒

 

  (3)  

SEC use only:

 

  (4)  

Source of funds (see instructions):

 

OO

  (5)  

Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e):

 

☐

  (6)  

Citizenship or place of organization:

 

Delaware

Number of

shares

beneficially

owned by

each

reporting

person

with

    (7)    

Sole voting power:

 

20,505,097

   (8)   

Shared voting power:

 

0

   (9)   

Sole dispositive power:

 

9,815,271

   (10)    

Shared dispositive power:

 

0

  (11)   

Aggregate amount beneficially owned by each reporting person:

 

20,505,097

  (12)  

Check if the aggregate amount in Row (11) excludes certain shares: (see instructions)

 

☐

  (13)  

Percent of class represented by amount in Row (11):

 

20.0%*

  (14)  

Type of reporting person (see instructions):

 

PN

 

*

The ownership percentage has been calculated based on an aggregate total of 91,736,516 shares of Common Stock (as defined below) issued and outstanding as of November 6, 2019, plus the 25,696,698 shares of Common Stock, rounded up to the nearest share, beneficially owned in connection with the Series E Preferred Stock as of the date hereof.

CUSIP No. 532403201    Page 3 of 20

 

  (1)   

Name of reporting person

 

The Värde Fund XI G.P., LLC

  (2)  

Check the appropriate box if a member of a group (see instructions)

(a)  ☐        (b)  ☒

 

  (3)  

SEC use only:

 

  (4)  

Source of funds (see instructions):

 

OO

  (5)  

Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e):

 

☐

  (6)  

Citizenship or place of organization:

 

Delaware

Number of

shares

beneficially

owned by

each

reporting

person

with

    (7)    

Sole voting power:

 

20,505,097

   (8)   

Shared voting power:

 

0

   (9)   

Sole dispositive power:

 

9,815,271

   (10)    

Shared dispositive power:

 

0

  (11)   

Aggregate amount beneficially owned by each reporting person:

 

20,505,097

  (12)  

Check if the aggregate amount in Row (11) excludes certain shares: (see instructions)

 

☐

  (13)  

Percent of class represented by amount in Row (11):

 

20.0%*

  (14)  

Type of reporting person (see instructions):

 

OO

CUSIP No. 532403201    Page 4 of 20

 

  (1)   

Name of reporting person

 

The Värde Fund XII (Master), L.P.

  (2)  

Check the appropriate box if a member of a group (see instructions)

(a)  ☐        (b)  ☒

 

  (3)  

SEC use only:

 

  (4)  

Source of funds (see instructions):

 

OO

  (5)  

Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e):

 

☐

  (6)  

Citizenship or place of organization:

 

Delaware

Number of

shares

beneficially

owned by

each

reporting

person

with

    (7)    

Sole voting power:

 

14,590,166

   (8)   

Shared voting power:

 

0

   (9)   

Sole dispositive power:

 

6,983,943

   (10)    

Shared dispositive power:

 

0

  (11)   

Aggregate amount beneficially owned by each reporting person:

 

14,590,166

  (12)  

Check if the aggregate amount in Row (11) excludes certain shares: (see instructions)

 

☐

  (13)  

Percent of class represented by amount in Row (11):

 

14.7%*

  (14)  

Type of reporting person (see instructions):

 

PN

CUSIP No. 532403201    Page 5 of 20

 

  (1)   

Name of reporting person

 

The Värde Fund XII G.P., L.P.

  (2)  

Check the appropriate box if a member of a group (see instructions)

(a)  ☐        (b)  ☒

 

  (3)  

SEC use only:

 

  (4)  

Source of funds (see instructions):

 

OO

  (5)  

Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e):

 

☐

  (6)  

Citizenship or place of organization:

 

Delaware

Number of

shares

beneficially

owned by

each

reporting

person

with

    (7)    

Sole voting power:

 

14,590,166

   (8)   

Shared voting power:

 

0

   (9)   

Sole dispositive power:

 

6,983,943

   (10)    

Shared dispositive power:

 

0

  (11)   

Aggregate amount beneficially owned by each reporting person:

 

14,590,166

  (12)  

Check if the aggregate amount in Row (11) excludes certain shares: (see instructions)

 

☐

  (13)  

Percent of class represented by amount in Row (11):

 

14.7%*

  (14)  

Type of reporting person (see instructions):

 

PN

CUSIP No. 532403201    Page 6 of 20

 

  (1)   

Name of reporting person

 

The Värde Fund XII UGP, LLC

  (2)  

Check the appropriate box if a member of a group (see instructions)

(a)  ☐        (b)  ☒

 

  (3)  

SEC use only:

 

  (4)  

Source of funds (see instructions):

 

OO

  (5)  

Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e):

 

☐

  (6)  

Citizenship or place of organization:

 

Delaware

Number of

shares

beneficially

owned by

each

reporting

person

with

    (7)    

Sole voting power:

 

14,590,166

   (8)   

Shared voting power:

 

0

   (9)   

Sole dispositive power:

 

6,983,943

   (10)    

Shared dispositive power:

 

0

  (11)   

Aggregate amount beneficially owned by each reporting person:

 

14,590,166

  (12)  

Check if the aggregate amount in Row (11) excludes certain shares: (see instructions)

 

☐

  (13)  

Percent of class represented by amount in Row (11):

 

14.7%*

  (14)  

Type of reporting person (see instructions):

 

OO

CUSIP No. 532403201    Page 7 of 20

 

  (1)   

Name of reporting person

 

The Värde Skyway Mini-Master Fund, L.P.

  (2)  

Check the appropriate box if a member of a group (see instructions)

(a)  ☐        (b)  ☒

 

  (3)  

SEC use only:

 

  (4)  

Source of funds (see instructions):

 

OO

  (5)  

Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e):

 

☐

  (6)  

Citizenship or place of organization:

 

Cayman Islands

Number of

shares

beneficially

owned by

each

reporting

person

with

    (7)    

Sole voting power:

 

5,199,438

   (8)   

Shared voting power:

 

0

   (9)   

Sole dispositive power:

 

2,488,865

   (10)    

Shared dispositive power:

 

0

  (11)   

Aggregate amount beneficially owned by each reporting person:

 

5,199,438

  (12)  

Check if the aggregate amount in Row (11) excludes certain shares: (see instructions)

 

☐

  (13)  

Percent of class represented by amount in Row (11):

 

5.5%*

  (14)  

Type of reporting person (see instructions):

 

PN

CUSIP No. 532403201    Page 8 of 20

 

  (1)   

Name of reporting person

 

The Värde Skyway Fund, L.P.

  (2)  

Check the appropriate box if a member of a group (see instructions)

(a)  ☐        (b)  ☒

 

  (3)  

SEC use only:

 

  (4)  

Source of funds (see instructions):

 

OO

  (5)  

Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e):

 

☐

  (6)  

Citizenship or place of organization:

 

Delaware

Number of

shares

beneficially

owned by

each

reporting

person

with

    (7)    

Sole voting power:

 

1,208,404

   (8)   

Shared voting power:

 

0

   (9)   

Sole dispositive power:

 

578,407

   (10)    

Shared dispositive power:

 

0

  (11)   

Aggregate amount beneficially owned by each reporting person:

 

1,208,404

  (12)  

Check if the aggregate amount in Row (11) excludes certain shares: (see instructions)

 

☐

  (13)  

Percent of class represented by amount in Row (11):

 

1.3%*

  (14)  

Type of reporting person (see instructions):

 

PN

CUSIP No. 532403201    Page 9 of 20

 

  (1)   

Name of reporting person

 

The Värde Skyway Fund G.P., L.P.

  (2)  

Check the appropriate box if a member of a group (see instructions)

(a)  ☐        (b)  ☒

 

  (3)  

SEC use only:

 

  (4)  

Source of funds (see instructions):

 

OO

  (5)  

Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e):

 

☐

  (6)  

Citizenship or place of organization:

 

Delaware

Number of

shares

beneficially

owned by

each

reporting

person

with

    (7)    

Sole voting power:

 

6,407,842

   (8)   

Shared voting power:

 

0

   (9)   

Sole dispositive power:

 

3,067,272

   (10)    

Shared dispositive power:

 

0

  (11)   

Aggregate amount beneficially owned by each reporting person:

 

6,407,842

  (12)  

Check if the aggregate amount in Row (11) excludes certain shares: (see instructions)

 

☐

  (13)  

Percent of class represented by amount in Row (11):

 

6.7%*

  (14)  

Type of reporting person (see instructions):

 

PN

CUSIP No. 532403201    Page 10 of 20

 

  (1)   

Name of reporting person

 

Värde Investment Partners (Offshore) Master, L.P.

  (2)  

Check the appropriate box if a member of a group (see instructions)

(a)  ☐        (b)  ☒

 

  (3)  

SEC use only:

 

  (4)  

Source of funds (see instructions):

 

OO

  (5)  

Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e):

 

☐

  (6)  

Citizenship or place of organization:

 

Cayman Islands

Number of

shares

beneficially

owned by

each

reporting

person

with

    (7)    

Sole voting power:

 

2,957,466

   (8)   

Shared voting power:

 

0

   (9)   

Sole dispositive power:

 

1,415,664

   (10)    

Shared dispositive power:

 

0

  (11)   

Aggregate amount beneficially owned by each reporting person:

 

2,957,466

  (12)  

Check if the aggregate amount in Row (11) excludes certain shares: (see instructions)

 

☐

  (13)  

Percent of class represented by amount in Row (11):

 

3.2%*

  (14)  

Type of reporting person (see instructions):

 

PN

CUSIP No. 532403201    Page 11 of 20

 

  (1)   

Name of reporting person

 

The Värde Fund VI-A, L.P.

  (2)  

Check the appropriate box if a member of a group (see instructions)

(a)  ☐        (b)  ☒

 

  (3)  

SEC use only:

 

  (4)  

Source of funds (see instructions):

 

OO

  (5)  

Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e):

 

☐

  (6)  

Citizenship or place of organization:

 

Delaware

Number of

shares

beneficially

owned by

each

reporting

person

with

    (7)    

Sole voting power:

 

1,478,733

   (8)   

Shared voting power:

 

0

   (9)   

Sole dispositive power:

 

707,832

   (10)    

Shared dispositive power:

 

0

  (11)   

Aggregate amount beneficially owned by each reporting person:

 

1,478,733

  (12)  

Check if the aggregate amount in Row (11) excludes certain shares: (see instructions)

 

☐

  (13)  

Percent of class represented by amount in Row (11):

 

1.6%*

  (14)  

Type of reporting person (see instructions):

 

PN

CUSIP No. 532403201    Page 12 of 20

 

  (1)   

Name of reporting person

 

Värde Investment Partners, L.P.

  (2)  

Check the appropriate box if a member of a group (see instructions)

(a)  ☐        (b)  ☒

 

  (3)  

SEC use only:

 

  (4)  

Source of funds (see instructions):

 

OO

  (5)  

Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e):

 

☐

  (6)  

Citizenship or place of organization:

 

Delaware

Number of

shares

beneficially

owned by

each

reporting

person

with

    (7)    

Sole voting power:

 

3,351,795

   (8)   

Shared voting power:

 

0

   (9)   

Sole dispositive power:

 

1,604,419

   (10)    

Shared dispositive power:

 

0

  (11)   

Aggregate amount beneficially owned by each reporting person:

 

3,351,795

  (12)  

Check if the aggregate amount in Row (11) excludes certain shares: (see instructions)

 

☐

  (13)  

Percent of class represented by amount in Row (11):

 

3.6%*

  (14)  

Type of reporting person (see instructions):

 

PN

CUSIP No. 532403201    Page 13 of 20

 

  (1)   

Name of reporting person

 

Värde Investment Partners G.P., L.P.

  (2)  

Check the appropriate box if a member of a group (see instructions)

(a)  ☐        (b)  ☒

 

  (3)  

SEC use only:

 

  (4)  

Source of funds (see instructions):

 

OO

  (5)  

Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e):

 

☐

  (6)  

Citizenship or place of organization:

 

Delaware

Number of

shares

beneficially

owned by

each

reporting

person

with

    (7)    

Sole voting power:

 

7,787,994

   (8)   

Shared voting power:

 

0

   (9)   

Sole dispositive power:

 

3,727,915

   (10)    

Shared dispositive power:

 

0

  (11)   

Aggregate amount beneficially owned by each reporting person:

 

7,787,994

  (12)  

Check if the aggregate amount in Row (11) excludes certain shares: (see instructions)

 

☐

  (13)  

Percent of class represented by amount in Row (11):

 

8.1%*

  (14)  

Type of reporting person (see instructions):

 

PN

CUSIP No. 532403201    Page 14 of 20

 

  (1)   

Name of reporting person

 

Värde Partners, L.P.

  (2)  

Check the appropriate box if a member of a group (see instructions)

(a)  ☐        (b)  ☒

 

  (3)  

SEC use only:

 

  (4)  

Source of funds (see instructions):

 

OO

  (5)  

Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e):

 

☐

  (6)  

Citizenship or place of organization:

 

Delaware

Number of

shares

beneficially

owned by

each

reporting

person

with

    (7)    

Sole voting power:

 

49,291,099

   (8)   

Shared voting power:

 

0

   (9)   

Sole dispositive power:

 

23,594,401

   (10)    

Shared dispositive power:

 

0

  (11)   

Aggregate amount beneficially owned by each reporting person:

 

49,291,099

  (12)  

Check if the aggregate amount in Row (11) excludes certain shares: (see instructions)

 

☐

  (13)  

Percent of class represented by amount in Row (11):

 

42.0%*

  (14)  

Type of reporting person (see instructions):

 

PN

CUSIP No. 532403201    Page 15 of 20

 

  (1)   

Name of reporting person

 

Värde Partners, Inc.

  (2)  

Check the appropriate box if a member of a group (see instructions)

(a)  ☐        (b)  ☒

 

  (3)  

SEC use only:

 

  (4)  

Source of funds (see instructions):

 

OO

  (5)  

Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e):

 

☐

  (6)  

Citizenship or place of organization:

 

Delaware

Number of

shares

beneficially

owned by

each

reporting

person

with

    (7)    

Sole voting power:

 

49,291,099

   (8)   

Shared voting power:

 

0

   (9)   

Sole dispositive power:

 

23,594,401

   (10)    

Shared dispositive power:

 

0

  (11)   

Aggregate amount beneficially owned by each reporting person:

 

49,291,099

  (12)  

Check if the aggregate amount in Row (11) excludes certain shares: (see instructions)

 

☐

  (13)  

Percent of class represented by amount in Row (11):

 

42.0%*

  (14)  

Type of reporting person (see instructions):

 

CO

CUSIP No. 532403201    Page 16 of 20

 

  (1)   

Name of reporting person

 

George G. Hicks

  (2)  

Check the appropriate box if a member of a group (see instructions)

(a)  ☐        (b)  ☒

 

  (3)  

SEC use only:

 

  (4)  

Source of funds (see instructions):

 

OO

  (5)  

Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e):

 

☐

  (6)  

Citizenship or place of organization:

 

United States

Number of

shares

beneficially

owned by

each

reporting

person

with

    (7)    

Sole voting power:

 

0

   (8)   

Shared voting power:

 

49,291,099

   (9)   

Sole dispositive power:

 

0

   (10)    

Shared dispositive power:

 

23,594,401

  (11)   

Aggregate amount beneficially owned by each reporting person:

 

49,291,099

  (12)  

Check if the aggregate amount in Row (11) excludes certain shares: (see instructions)

 

☐

  (13)  

Percent of class represented by amount in Row (11):

 

42.0%*

  (14)  

Type of reporting person (see instructions):

 

IN

 

SCHEDULE 13D

 

   
CUSIP No. 532403201      Page 17 of 20

 

Item 1. Security and Issuer

This Schedule 13D relates to the common stock (the “Common Stock”), par value $0.0001 per share, of Lilis Energy, Inc., a Nevada corporation (the “Issuer”). The Issuer has its principal executive offices at 201 Main St., Suite 700 Fort Worth, TX 76102.

This Amendment No. 11 (“Amendment No. 11”) amends and supplements the Schedule 13D filed by the Reporting Persons on May 8, 2017, as amended by Amendment No. 1 to Schedule 13D filed by the Reporting Persons on July 14, 2017, as amended by Amendment No. 2 to Schedule 13D filed by the Reporting Persons on August 12, 2017, as amended by Amendment No. 3 to Schedule 13D filed by the Reporting Persons on November 17, 2017, as amended by Amendment No. 4 to Schedule 13D filed by the Reporting Persons on January 8, 2018, as amended by Amendment No. 5 to Schedule 13D filed by the Reporting Persons on February 2, 2018, as amended by Amendment No. 6 to Schedule 13D filed by the Reporting Persons on October 16, 2018, as amended by Amendment No. 7 to Schedule 13D filed by the Reporting Persons on December 28, 2018, as amended by Amendment No. 8 to Schedule 13D filed by the Reporting Persons on March 29, 2019, as amended by Amendment No. 9 to Schedule 13D filed by the Reporting Persons on December 10, 2019, and as amended by Amendment No. 10 to Schedule 13D filed by the Reporting Persons on January 13, 2020 (as so amended through this Amendment No. 11, the “Schedule 13D”).

Except as specifically provided herein, this Amendment No. 11 does not modify any of the information previously reported on the Schedule 13D. Capitalized terms used but not otherwise defined in this Amendment No. 11 shall have the meanings ascribed to them in the Schedule 13D. The filing of this Amendment No. 11 shall not be construed to be an admission by the Reporting Persons that a material change has occurred in the facts set forth in the Schedule 13D or that this Amendment No. 11 is required under Rule 13d-2 of the Securities Exchange Act.

CUSIP No. 532403201    Page 18 of 20

 

Item 2. Identity and Background

No change.

CUSIP No. 532403201    Page 19 of 20

 

Item 3. Source and Amount of Funds or Other Consideration

No change.

Item 4. Purpose of Transaction

Item 4 of the Schedule 13D is hereby amended and supplemented by adding the following:

As previously disclosed, on January 10, 2020, certain of the Reporting Persons submitted a preliminary non-binding offer (the “Non-Binding Offer”) to a special committee of the board of directors (the “Special Committee”) of the Issuer for the acquisition of all of the outstanding publicly held shares of common stock of the Issuer not already owned by the Reporting Persons in cash (the “Acquisition”).

On February 15, 2020, certain of the Reporting Persons received from the Special Committee a letter regarding the Non-Binding Offer and that included a request to extend the original Non-Binding Offer deadline.

On February 17, 2020, certain of the Reporting Persons sent the Special Committee a letter extending the original Non-Binding Offer deadline to February 27, 2020 (the “Extension to the Non-Binding Offer”).

The foregoing descriptions of the Non-Binding Offer and the Extension to the Non-Binding Offer in this Amendment No. 11 are not intended to be complete and are qualified in their entirety by reference to the full text of the Non-Binding Offer and the Extension to the Non-Binding Offer, copies of which are incorporated by reference or attached hereto as Exhibits A and B, respectively.

Item 5. Interest in Securities of the Issuer

No change.

Item 6. Contracts, Arrangements, Understandings or Relationships With Respect to Securities of Issuer

Item 6 of the Schedule 13D is hereby supplemented as follows:

The description of the Non-Binding Offer and the Extension to the Non-Binding Offer under Item 4 are incorporated herein by reference.

CUSIP No. 532403201    Page 20 of 20

 

Item 7. Material to Be Filed As Exhibits

Item 7 of the Schedule 13D is hereby amended and supplemented as follows:

 

Exhibit A    Non-Binding Offer to the Issuer, dated January 10, 2020 (incorporated by reference from Exhibit A to the Issuer’s Amendment No. 10 to the Schedule 13D filed by the Reporting Persons on January 13, 2020).
Exhibit B    Extension to the Non-Binding Offer, dated February 17, 2020.

SIGNATURE

After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct.

Dated as of February 18, 2020

 

THE VÄRDE FUND XI (Master), L.P.
By:   The Värde XI G.P., LLC, Its General Partner
By:   Värde Partners, L.P., Its Managing Member
By:   Värde Partners, Inc., Its General Partner
By:  

/s/ David A. Marple

Name:   David A. Marple
Title:   General Counsel
THE VÄRDE FUND XI G.P., LLC
By:   Värde Partners, L.P., Its Managing Member
By:   Värde Partners, Inc., Its General Partner
By:  

/s/ David A. Marple

Name:   David A. Marple
Title:   General Counsel
THE VÄRDE FUND XII (MASTER), L.P.
By:   The Värde Fund XII G.P., L.P., Its General Partner
By:   The Värde Fund XII UGP, LLC, Its General Partner
By:   Värde Partners, L.P., Its Managing Member
By:   Värde Partners, Inc., Its General Partner
By:  

/s/ David A. Marple

Name:   David A. Marple
Title:   General Counsel
THE VÄRDE FUND XII G.P., L.P.
By:   The Värde Fund XII UGP, LLC, Its General Partner
By:   Värde Partners, L.P., Its Managing Member
By:   Värde Partners, Inc., Its General Partner
By:  

/s/ David A. Marple

Name:   David A. Marple
Title:   General Counsel

THE VÄRDE FUND XII UGP, LLC
By:   Värde Partners, L.P., Its Managing Member
By:   Värde Partners, Inc., Its General Partner
By:  

/s/ David A. Marple

Name:   David A. Marple
Title:   General Counsel
THE VÄRDE SKYWAY MINI-MASTER FUND, L.P.
By:   Värde Skyway Fund G.P., L.P., Its General Partner
By:   Värde Partners, L.P., Its Managing Member
By:   Värde Partners, Inc., Its General Partner
By:  

/s/ David A. Marple

Name:   David A. Marple
Title:   General Counsel
THE VÄRDE SKYWAY FUND, L.P.
By:   Värde Skyway Fund G.P., L.P., Its General Partner
By:   Värde Partners, L.P., Its Managing Member
By:   Värde Partners, Inc., Its General Partner
By:  

/s/ David A. Marple

Name:   David A. Marple
Title:   General Counsel
THE VÄRDE SKYWAY FUND G.P., L.P.
By:   Värde Partners, L.P., Its Managing Member
By:   Värde Partners, Inc., Its General Partner
By:  

/s/ David A. Marple

Name:   David A. Marple
Title:   General Counsel

VÄRDE INVESTMENT PARTNERS (OFFSHORE) MASTER, L.P.
By:   Värde Investment Partners G.P., L.P., Its General Partner
By:   Värde Partners, L.P., Its Managing Member
By:   Värde Partners, Inc., Its General Partner
By:  

/s/ David A. Marple

Name:   David A. Marple
Title:   General Counsel
THE VÄRDE FUND VI-A, L.P.
By:   Värde Investment Partners G.P., L.P., Its General Partner
By:   Värde Partners, L.P., Its Managing Member
By:   Värde Partners, Inc., Its General Partner
By:  

/s/ David A. Marple

Name:   David A. Marple
Title:   General Counsel
VÄRDE INVESTMENT PARTNERS, L.P.
By:   Värde Investment Partners G.P., L.P., Its General Partner
By:   Värde Partners, L.P., Its Managing Member
By:   Värde Partners, Inc., Its General Partner
By:  

/s/ David A. Marple

Name:   David A. Marple
Title:   General Counsel
VÄRDE INVESTMENT PARTNERS G.P., L.P.
By:   Värde Partners, L.P., Its Managing Member
By:   Värde Partners, Inc., Its General Partner
By:  

/s/ David A. Marple

Name:   David A. Marple
Title:   General Counsel

VÄRDE PARTNERS, L.P.
By:   Värde Partners, Inc., Its General Partner
By:  

/s/ David A. Marple

Name:   David A. Marple
Title:   General Counsel

VÄRDE PARTNERS, INC.
By:  

/s/ David A. Marple

Name:   David A. Marple
Title:   General Counsel
GEORGE G. HICKS
By:  

/s/ George G. Hicks

Name:   George G. Hicks
 EX-99.B 2 d852556dex99b.htm EX-99.B EX-99.B

Exhibit B

 

LOGO

February 17, 2020

Special Committee of the Board of Directors

Lilis Energy, Inc.

201 Main Street, Suite 700

Fort Worth, Texas 76102

 

  Attn:

Members of the Special Committee (the “Special Committee”) of the Board of Directors

    

(the “Board”) of Lilis Energy, Inc. (“Lilis”)

Ladies and Gentlemen:

Värde Partners, Inc., on behalf of certain of its affiliated private funds and investment vehicles (“Värde” or “we”), is in receipt of the Special Committee’s letter dated February 15, 2020 regarding our non-binding offer to acquire all of the outstanding shares of Lilis’ common stock not already owned by Värde (the “Non-Binding Offer”).

As requested by the Special Committee, we are willing to extend the original Non-Binding Offer deadline to February 27, 2020 to allow further discussions and evaluation of our Non-Binding Offer. While we continue to believe that our Non-Binding Offer represents a definitive, positive path forward for Lilis and its stockholders, we remain supportive of the Special Committee’s work in exploring strategic alternatives and continue to be willing to actively engage with the Special Committee, Lilis and other stakeholders on viable transactions you may identify.

This letter and the Non-Binding Offer are not intended to, and do not, constitute or create any legally binding obligations or liabilities (including as to negotiations) on the part of Värde or any of its affiliates and such a binding obligation shall be created only upon the execution and delivery by certain affiliates of Värde and Lilis of a definitive merger agreement. Värde and its affiliates reserve their right to withdraw the Non-Binding Offer at any time, for any reason, at their sole discretion. Further, we continue to evaluate all options as a stockholder of Lilis and reserve all rights with respect thereto and under the Waiver Agreement dated December 10, 2019.

We look forward to continuing to work with the Special Committee and its advisors in a timely fashion on this very important matter for Lilis and its stockholders.

[Signature Page Follows]

Sincerely,
VÄRDE PARTNERS, INC., on behalf of certain of its affiliated private funds and investment vehicles
By:   /s/ Markus Specks
Name:   Markus Specks
Title:   Managing Director

 

 

 

 

[Signature Page to Letter to Special Committee]

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