Group 42 Inc. and Bradley Radoff, a private investor based in Houston, have collectively acquired about 11.1% of the outstanding shares of VAALCO Energy Inc.'s (EGY) common stock, according to a Oct. 6 release.

Group 42, a San Antonio holding company, and Radoff each acquired shares in VAALCO with a belief that the company stands to benefit from numerous operational and strategic opportunities that could increase value for all shareholders, the release said.

Over the last few months, Group 42 said it has reached out to VAALCO's management and board of directors to discuss potential strategic and operational avenues to increasing shareholder value.

On Sept. 26, the day after Group 42 and Radoff disclosed their ownership in VAALCO, the company's board of directors adopted a shareholder rights plan—or a poison pill. The plan prevents Group 42 and Radoff from acquiring any more shares of VAALCO and limits their ability to discuss VAALCO's strategic direction with other VAALCO shareholders.

"We see great opportunity for VAALCO to utilize its resources in such a way that will build and increase shareholder value even in this uncertain market," Paul A. Bell, CEO and president of Group 42, said in a statement.

VAALCO is a Houston based independent energy company with properties and exploration acreage located primarily in Gabon, Angola and Equatorial Guinea in West Africa.