As previously disclosed, on October 14, 2019, Parsley Energy, Inc., a Delaware corporation (Parsley), entered into an
Agreement and Plan of Merger (the Merger Agreement), by and among Parsley, Jagged Peak Energy Inc., a Delaware corporation (Jagged Peak), and Jackal Merger Sub, Inc., a Delaware corporation and wholly owned subsidiary of
Parsley (Merger Sub). The Merger Agreement provides for, among other things, the merger of Merger Sub with and into Jagged Peak, on the terms and subject to the conditions set forth in the Merger Agreement (the Merger),
with Jagged Peak continuing as the surviving corporation in the Merger. As a result of the Merger, Jagged Peak would become a wholly owned subsidiary of Parsley. On November 26, 2019, Parsley filed with the Securities and Exchange Commission
(the SEC) a Joint Proxy Statement/Prospectus for the solicitation of proxies in connection with the special meeting of Parsleys stockholders, to be held on January 9, 2020, to vote upon, among other things, matters necessary
to complete the Merger (the Proxy Statement). All information regarding the events discussed in this Form 8-K, as described below, has been provided to Parsley by Jagged Peak.
Litigation Related to the Merger
Following the initial filing of the Proxy Statement with the SEC, six purported stockholders of Jagged Peak filed separate complaints
(including several putative class actions complaints, on behalf of themselves and all owners of Jagged Peaks common stock, other than defendants and related or affiliated persons) against Jagged Peak and the directors of Jagged Peak. The six
complaints (collectively referred to as the Stockholder Actions) are captioned as follows: Eric Sabatini v. Jagged Peak Energy Inc. et al., Case No.
1:19-cv-02114 (D. Del.) (the Sabatini Action), Jean-Pierre Enguehard v. Jagged Peak Energy, Inc. et al., Case No. 2019-cv-34328 (Distr. Ct., Denver, CO) (the Enguehard Action), Kelly Small v. Jagged Peak Energy Inc. et al., Case No.
1:19-cv-10698 (S.D.N.Y.) (the Small Action), Sherrie Wynne v. Jagged Peak Energy Inc. et al., Case No. 1:19-cv-03281 (D. Colo.) (the Wynne Action), Mark Prinzel v. Jagged Peak Energy Inc. et al., Case No.
1:19-cv-10886 (S.D.N.Y.) (the Prinzel Action), and Stephen Bushansky v. Jagged Peak Energy Inc. et al., Case No. 1:19-cv-3433 (D. Colo.) (the Bushansky Action).
The Stockholder
Actions allege that, among other things, the Proxy Statement fails to disclose certain allegedly material information in violation of Section 14(a) and Section 20(a) of the Securities Exchange Act of 1934, as amended (the Exchange
Act), as well as Rule 14a-9 under the Exchange Act. The Enguehard Action further alleges that the directors of Jagged Peak failed to fulfill their fiduciary duties in connection with the Merger
by purportedly initiating a process to sell Jagged Peak in a transaction that undervalues Jagged Peak. The complaints seek injunctive relief enjoining the Merger and damages and costs, among other remedies. Copies of the complaint in each of the
Stockholder Actions are attached hereto as Exhibit 99.1, 99.2, 99.3, 99.4, 99.5 and 99.6, respectively, and incorporated by reference herein.
It is possible that additional, similar complaints may be filed or the complaints described above may be amended. If this occurs, Jagged Peak
does not intend to announce the filing of each additional, similar complaint or any amended complaint unless it contains materially new or different allegations. Although Jagged Peak cannot predict the outcome of or estimate the possible loss or
range of loss from these matters, Jagged Peak and Jagged Peaks defendant directors believe that these complaints are without merit and intend to vigorously defend them.
Jagged Peak believes that no supplemental disclosures are required under applicable laws; however, in order to avoid the risk of the
Stockholder Actions delaying the Merger and minimize the expense of defending the Stockholder Actions, and without admitting any liability or wrongdoing, Jagged Peak is voluntarily making certain disclosures below that supplement those contained in
the Proxy Statement. These disclosures, and disclosures on certain other matters, are provided in this Current Report on Form 8-K. Nothing in this Current Report on Form 8-K shall be deemed an admission of the legal necessity or materiality under applicable laws of any of the disclosures set forth herein. To the contrary, Jagged Peak specifically denies all
allegations in the foregoing complaints, including that any additional disclosure was or is required.