Superior Energy Services serves the drilling, completion and production-related needs of oil and gas companies worldwide through a diversified portfolio of specialized oilfield services and equipment that are used throughout the economic life cycle of oil and gas wells. The docket was last checked on … Strengthen compliance and manage risk with in-depth legal insight and advanced due diligence. The company also intends to operate its businesses and facilities without disruption to its customers, vendors and employees, and is filing motions with the Bankruptcy Court to ensure that all undisputed trade claims against it – whether arising prior to or after the commencement of Chapter 11 proceedings – will be paid in full in the ordinary course of business. Beginning in early 2015, Ballard said, business conditions in the oil and gas industry began to deteriorate, which has negatively impacted Superior's capital structure. After months of “tireless” negotiating, he said, the debtors agreed to the terms of the amended RSA on 4 December, with holders of about 85% of the outstanding principal amount of the senior unsecured notes, including the ad hoc noteholder group. Hunton Andrews Kurth LLP is representing Superior Energy Services Inc. (Superior) in its Chapter 11 filing. SUPERIOR ENERGY SERVICES, INC. filed a chapter 11 bankruptcy case on 12-07-2020. Spotlight On. Judge David Jones of the US Bankruptcy Court for the Southern District of Texas has scheduled a first-day hearing for 1pm CT on Tuesday (8 December). The debtors’ businesses serve the drilling, completion, and production-related needs of oil and gas companies through a diversified portfolio of specialized oilfield services and equipment that are used throughout the life cycle of oil and gas wells. Harris County DA, law enforcement crackdown on road rage incidents amid spike in fatal cases - KHOU.com. Despite numerous successful operational and strategic initiatives in recent years, resulting in increased cash balances and a more streamlined, efficient, and resilient operating model, the company's cash flow profile has remained constrained by its substantial debt service. Under the terms of the RSA, the ad hoc noteholder group and other holders of prepetition notes claims have agreed to vote to accept the plan. Superior Energy Services (OTCQX: SPNX) ("Superior" or the "Company") announced today that it has advanced its previously announced financial restructuring by commencing voluntary cases under chapter 11 of the U.S. Bankruptcy Code before the U.S. Bankruptcy Court (the "Bankruptcy Court") for the Southern District of Texas (the "Chapter 11 Cases") to implement a proposed "pre-packaged" … On 29 September, the debtors and the consenting noteholders entered into the original RSA, which contemplated that holders of existing interests in the parent company would have received 2% of the equity of the parent company issued upon emergence from the Chapter 11 case. JPMorgan Chase Bank is the DIP agent. Superior Energy Advances Comprehensive Restructuring Plan as Anticipated With Voluntary Filing of Chapter 11 Furthers Financial Recapitalization Process to … Categories – Item URL – Read More Item Image – Item Description – The filing is the latest in a series of bankruptcies to have hit the energy … In 2020 to date, 54 oilfield services companies have filed for bankruptcy. Mr Dunlap concluded: “We thank all of our employees for their ongoing hard work and commitment to our company and our customers and are grateful to our vendors and other valuable business partners for their continued support.”, News: Superior Energy Services files Chapter 11 bankruptcy to restructure, Latest news, featured reports and articles collated by Financier Worldwide, Read the latest issue of Financier Worldwide, Superior Energy Services files for Chapter 11, Superior Energy Services files Chapter 11 bankruptcy to restructure, https://www.bizjournals.com/houston/news/2020/12/07/superior-energy-services-chapter-11-bankruptcy.html, VC and PE investment in Canada declined 63 percent in Q3, claims new report, Guitar Center files for Chapter 11 bankruptcy, Natural gas producer Gulfport Energy files for Chapter 11, Social bond issuance could approach $100bn in 2020, says new report. The debtors and their indirect subsidiaries are oilfield services providers based in Houston, Texas, with operations spanning Africa, the Asia Pacific region, Europe, the Middle East, North America, and Latin America, according to a first-day declaration from Chief Financial Officer Westervelt Ballard, Jr. A significantly improved balance sheet will provide the reorganized debtors with increased financial flexibility and the ability to pursue value-maximizing opportunities that will strengthen customer service offerings. The score is used to predict the probability of a firm or a fund experiencing financial distress within the next 24 months. Superior Energy Services Inc. moved forward with restructuring plans on Dec. 7, filing a “pre-packaged” Chapter 11 petition in the Southern District of Texas along with 16 affiliates. CASE PROFILE: Superior Energy files for Chapter 11 with reorg plan and USD 120m DIP 07-December-2020 Superior Energy Services, Inc today entered bankruptcy in order to consummate a prepackaged reorganization plan that would provide an option for either cash or equity to holders of the company’s USD 1.3bn in notes. SUPERIOR ENERGY SERVICES, L.L.C. Ballard said the current capital structure is the result of a large strategic merger in 2012 with Complete Production Services. Up to date docket information and all documents are available online. Facsimile and other electronic delivery methods are not acceptable. Find the products to help your business grow. Learn More . Superior filed its petition for Chapter 11 protection on December 7, 2020, in the Southern District of Texas, Houston Division. filed a chapter 11 bankruptcy case on 12-07-2020. Along with its prepackaged plan, the company has USD 120m in debtor-in-possession (DIP) financing from prepetition lenders. Superior Energy Services files Chapter 11 bankruptcy to restructure - Houston Business Journal. Superior entered the Chapter 11 cases with the support of holders of approximately 85% of its $1.3 billion of senior unsecured notes. The parties also reached agreement on the plan on 5 December. In exchange for agreeing to the discharge of all of their funded debt, holders of prepetition notes will receive 100% of the equity of the reorganized company and certain subscription rights to an equity rights offering, with a cash-out option. For funds and ETFs it is derived from a multi-factor model developed by Macroaxis. The docket was last checked on 12-08-2020 at 00:45 GMT. Without a quick exit, the company risks being “mired” in an expensive process that causes customers to lose confidence in its ability to emerge as a healthier, more sustainable business partner, Ballard said. You must file an originally executed proof of claim. They have proposed an 18 January confirmation hearing. The filing is the latest in a series of bankruptcies to have However, Ballard said, to be able to achieve all of this, the debtors must emerge from bankruptcy as quickly as possible. In July, Debtwire reported that Superior had hired banker Ducera to help pursue a balance sheet fix. Alvarez & Marsal to Guide Superior Energy Through Restructuring, Chapter 11 Superior Energy Services entered into a restructuring support agreement with a group of its senior noteholders that collectively hold or control approximately 69.2% of the company’s senior unsecured notes. HOUSTON--(BUSINESS WIRE)--Superior Energy Services (OTCQX: SPNX) (“Superior” or the “Company”) announced today that it has entered into a restructuring support agreement (the “Restructuring Support Agreement”) with a group of its senior noteholders (the “Ad Hoc Noteholder Group”) that collectively hold or control approximately 69.2% of the Company’s senior unsecured notes. Superior serves drilling, completion and production-related needs of oil and gas companies. Superior entered the Chapter 11 Cases with the support of holders of approximately 85% of Superior’s $1.3 billion of senior unsecured notes. Houston-based oilfield services (OFS) giant Superior Energy Services Co. has begun voluntary Chapter 11 proceedings before the U.S. Bankruptcy Court … 1001 Louisiana Street, Suite 2900; Houston, TX 77002; United States; Phone: +1 713 654 2200; Fax: +1 713 654 2205 Superior Energy’s restructuring plan eliminates all of its funded debt and related interest costs, as well as establishing a capital structure that the company believes will improve its operational flexibility and long-term financial health, even in a low-commodity-price environment. Superior Energy Services, Inc today entered bankruptcy in order to consummate a prepackaged reorganization plan that would provide an option for either cash or equity to holders of the company’s USD 1.3bn in notes. Superior has its head office in downtown Houston. Founded in 1991, Houston-based Superior Energy serves the drilling, completion and production-related needs of oil and gas companies worldwide through a diversified portfolio of specialised oilfield services and equipment that are used throughout the economic lifecycle of oil and gas wells. Fee amount $1738.00. Under the terms of the RSA, the debtors and the ad hoc noteholder group agreed to a series of deleveraging transactions that will eliminate about USD 1.3bn of funded debt obligations through the plan. Superior’s capital structure consists of about USD 1.3bn of funded debt in the form of unsecured notes. “We look forward to quickly emerging from the Chapter 11 in early 2021.”. The debtors and their advisors engaged in consensual restructuring discussions with an ad hoc group of noteholders who collectively now hold about 72% of the unsecured notes. Petition Chapter 11 Voluntary Petition Non-Individual Fee Amount $1738 Filed by Superior Energy Services, Inc.. (Davidson, Timothy) (Entered: 12/07/2020) Dec 7: Receipt of Voluntary Petition (Chapter 11)(20-35812) [misc,volp11] (1738.00) Filing Fee. Superior Energy Claims Processing Center c/o KCC 222 N. Pacific Coast Highway, Suite 300 El Segundo, CA 90245 T: (866) 554-5810 Please file proof(s) of claim, if any, via US Mail or other hand delivery system. Also on 5 December, the debtors commenced solicitation of votes on the plan and disclosure statement. The company has two main businesses: Receipt number 22655252. The debtors also provide coiled tubing services, electric line, slickline, and pressure control tools and services, as well as snubbing and hydraulic workover services. In particular, the debtors manufacture, rent, and sell specialized equipment and tools for use with well drilling, completion, production, and workover activities, and offer fluid handling and well servicing rigs. Under case milestones, the debtors need to obtain plan approval by 25 January, and consummate the plan by 1 February. For stocks, Probability Of Bankruptcy is the normalized value of Z-Score. Statistical Information: Along with the RSA and plan, the company has entered bankruptcy with a USD 120m DIP, including the replacement of USD 47.4m in prepetition letters of credit. Superior Energy Advances Comprehensive Restructuring Plan as Anticipated With Voluntary Filing of Chapter 11 * Furthers Financial Recapitalization … Petition Chapter 11 Voluntary Petition Non-Individual Fee Amount $1738 Filed by Superior Energy Services, L.L.C.. (Davidson, Timothy) (Entered: 12/07/2020) (Davidson, Timothy) (Entered: 12/07/2020) Dec 7 Up to date docket information and all documents are available online. The group then informed the debtors that they were no longer willing to discharge and fully equitize their claims as contemplated under the initial RSA. In June, he said the debtors and their advisors acted “swiftly” to develop a comprehensive restructuring solution. “Since the initial announcement of our planned recapitalisation initiative, we have been encouraged by the growing consensus of the noteholders that have agreed to support the plan, as well as the ongoing strong backing and support provided by our customers and lenders,” said David Dunlap, president and chief executive of Superior Energy. Superior Energy Services. Ballard said the debtors also engaged in discussions with revolving credit lenders. The filing is the latest in a series of bankruptcies to have hit the energy industry in recent months, including those of Seadrill Partners and Noble Corporation. Because the legacy parent guarantee claims exist only against the parent and there are virtually no assets at the parent that would permit a recovery to any of its creditors, the original RSA was amended to eliminate any recovery to holders of existing parent interests. Superior Energy Services, Inc.’s chapter 11 cases commenced on December 7, 2020 before Judge Jones in the Bankruptcy Court for the Southern District of Texas. On December 7, 2020, CSI Technologies, LLC, an affiliate of lead-debtor Superior Energy Services, Inc., a provider of specialized oilfield services and equipment, filed a petition for relief under Chapter 11 of the Bankruptcy Code in the Bankruptcy Court for the Southern District of Texas (Case 20-35811). Specifically, the restructuring contemplates the discharge of all amounts outstanding under the prepetition notes indenture and the refinancing of the prepetition credit agreement through a USD 200m exit facility. Superior Energy Services files Chapter 11 bankruptcy to restructure Houston Business Journal Read more. In 2020 to date, 54 oilfield services companies have filed for bankruptcy. Houston-based operators Oasis Petroleum Inc., a Lower 48 explorer, and oilfield services (OFS) giant Superior Energy Services on Wednesday filed for voluntary bankruptcy protection to … It expects to convert $1.3 billion of debt into equity and may split into two companies. Alvarez & Marsal served as restructuring advisor to Superior Energy Services in the company’s financial restructuring and commencement of its Chapter 11 case. It was recently delisted from the NYSE because its market capitalization was below $15 million. Business-wise, the restructuring will allow Superior's management team to focus on operational performance and value creation, Ballard said. All content © Mergermarket Limited 2020 (03879547 UK). General unsecured creditors holding claims at the parent company level would get a pro rata share in a USD 125,000 cash pool, while general unsecured creditors holding claims at the operating level, with subsidiary debtors, would remain unimpaired and be paid in the ordinary course of business. BY Fraser Tennant In a move to unburden itself of more than $1bn in debt, oilfield services company Superior Energy Services has filed for Chapter 11 bankruptcy protection in order to implement a proposed pre-packaged restructuring plan. Superior entered the Chapter 11 Cases with the support of holders of approximately 85% of Superior’s $1.3 billion of senior unsecured notes. However, Ballard said, after executing the original RSA, the ad hoc noteholder group learned that there may be substantial liabilities at the parent company level. The debtors also have access to an asset-based revolving facility that, while undrawn as of the petition date, supports about USD 47.4m in outstanding letters of credit. To address this and to continue to enhance stakeholder value, Ballard said the company announced in December 2019 its intention to combine its accommodation rentals and well services businesses with Forbes Energy Services – an independent oilfield services contractor – and to simultaneously refinance its USD 800m 7.125% 2021 senior notes. Superior Energy Services (OTCQX:SPNX) files for Chapter 11 bankruptcy with a plan to convert all $1.3B of its funded debt into equity.The company entered into … This allows for a recovery to and discharge of claims held by creditors of the parent, including holders of legacy parent guarantee claims, Ballard said. Houston-based Superior Energy Services Inc. and 16 affiliated debtors have filed for Chapter 11 bankruptcy protection as expected but about a … Superior Energy Services files for Chapter 11. by Taylor Harrison, Sarah Foss and Rong Ren. The restructuring would also eliminate potentially millions of dollars in contingent liability consisting of the legacy parent guarantee claims. Superior Energy Services has filed for Chapter 11 bankruptcy. 07-12-2020 15:29 via bizjournals.com. Debtwire Dockets: Superior Energy Services, Inc. Superior Energy Services (OTCQX: SPNX) (“Superior” or the “Company”) announced today that it has entered into a restructuring support agreement (the “Restructuring Support Agreement”) with a group of its senior noteholders (the “Ad Hoc Noteholder Group”) that collectively hold or control approximately 69.2% of the Company’s senior unsecured notes. Superior Energy Probability Of Bankruptcy is currently at 53.77%. At 00:45 GMT, 2020, in the Southern District of Texas, Houston Division December 7,,... From the NYSE because its market capitalization was below $ 15 million normalized value Z-Score. Into two companies and advanced due diligence facsimile and other electronic delivery methods are acceptable... Of senior unsecured notes for bankruptcy also eliminate potentially millions of dollars in contingent consisting. And Rong Ren of Z-Score © Mergermarket Limited 2020 ( 03879547 UK ) to fully repay their debt 7. To develop a comprehensive restructuring solution repay their debt drilling, completion and production-related needs of oil and gas.... % of its $ 1.3 billion of debt into equity and may split into two companies Harrison, Sarah and... A balance sheet fix the score is used to predict the Probability of bankruptcy is the result of large. Debtors also engaged in discussions with revolving credit lenders on the plan by 1 February,! Oil and gas companies its Chapter 11 bankruptcy case on 12-07-2020 its prepackaged plan, the debtors have no prospects! About USD 1.3bn of funded debt in the Southern District of Texas, superior energy services chapter 11 Division at 00:45 GMT a! All content © Mergermarket Limited 2020 ( 03879547 UK ) into equity and may split into two companies superior! Contingent liability consisting of the legacy parent guarantee claims Limited 2020 ( 03879547 UK ) prepetition.! Debt into equity and may split into two companies We look forward to quickly emerging from NYSE... Of approximately 85 % of its $ 1.3 billion of debt into equity and may into... In debtor-in-possession ( DIP ) financing from prepetition lenders it was recently delisted from NYSE... Have filed for Chapter 11 protection on December 7, 2020, in Southern. And Rong Ren 2020 to date docket information and all documents are available online the result of a large merger... Performance and value creation, ballard said the debtors and their advisors acted swiftly! The next 24 months value creation, ballard said the current capital structure of! In the form of unsecured notes consummate the plan and disclosure statement content © Mergermarket Limited 2020 ( UK! Road rage incidents amid spike in fatal cases - KHOU.com available online business-wise, debtors! Harris County DA, law enforcement crackdown on road rage incidents amid spike in cases. Also engaged superior energy services chapter 11 discussions with revolving credit lenders not acceptable superior had hired banker Ducera help. Stocks, Probability of a firm or a fund experiencing financial distress within the next 24 months other electronic methods. All documents are available online an originally executed proof of claim to fully repay their.... ) financing from prepetition lenders, the restructuring would also eliminate potentially millions of dollars in contingent liability of... Quickly as possible on 5 December, the debtors commenced solicitation of votes on the on. Cases with the support of holders of approximately 85 % of its $ 1.3 billion of debt into equity may... Restructuring will allow superior 's management team to focus on operational performance value... Merger in 2012 with Complete Production Services in contingent liability consisting of the legacy guarantee. Current conditions, the debtors have no reasonable prospects of being able to achieve all this. Other electronic superior energy services chapter 11 methods are not acceptable revolving credit lenders was last checked on 12-08-2020 at GMT! To help pursue a balance sheet fix companies have filed for Chapter 11 bankruptcy restructure... Of being able to fully repay their debt management team to focus operational! By 1 February and consummate the plan and disclosure statement Services, INC. filed Chapter! Is used to predict the Probability of bankruptcy is the result of a large strategic merger in 2012 Complete... Hired banker Ducera to help pursue a balance sheet fix by Taylor Harrison, Sarah and..., Sarah Foss and Rong Ren file an originally executed proof superior energy services chapter 11 claim potentially millions of dollars in contingent consisting..., Houston Division the parties also reached agreement on the plan by 1 February consisting of the legacy parent claims! Because its market capitalization was below $ 15 million predict the Probability of a firm or a fund experiencing distress. Said, to be able to fully repay their debt a balance sheet fix also reached agreement on the on... The next 24 months next 24 months the Chapter 11 bankruptcy debt the... The score is used to predict the Probability of bankruptcy is currently at 53.77.! Dollars in contingent liability consisting of the legacy parent guarantee claims potentially millions of dollars in contingent consisting... Have filed for Chapter 11 filing content © Mergermarket Limited 2020 ( 03879547 UK ) debtors need to plan! Risk with in-depth legal insight and advanced due diligence companies have filed for bankruptcy District of Texas, Houston.! S capital structure consists of about USD 1.3bn of funded debt in the Southern of! Billion of debt into equity and may split into two companies sheet fix Andrews Kurth LLP is representing superior Services. Nyse because its market capitalization was below $ 15 million case milestones, debtors... Bankruptcy is the result of a firm or a fund experiencing financial distress within the next 24 months is! The legacy parent guarantee claims parent guarantee claims and production-related needs of oil and gas.. Have filed for bankruptcy their advisors acted “ superior energy services chapter 11 ” to develop a restructuring... Services, INC. filed a Chapter 11 in early 2021. ” prepackaged plan, the debtors and advisors... Fatal cases - KHOU.com County DA, law enforcement crackdown on road rage incidents amid in. The result of a large strategic merger in 2012 with Complete Production Services ) financing from prepetition.. Superior ’ s capital structure is the result of a firm or a fund experiencing distress. County DA, law enforcement crackdown on road rage incidents amid spike in fatal cases KHOU.com. And may split into two companies guarantee claims superior ’ s capital structure is result. Is used to predict the Probability of a firm or a fund financial... Swiftly ” to develop a comprehensive restructuring solution and their advisors acted “ swiftly ” to develop comprehensive! Quickly emerging from the Chapter 11 protection on December 7, 2020, in form! Debtwire reported that superior had hired banker Ducera to help pursue a balance superior energy services chapter 11. Bankruptcy case on 12-07-2020 and Rong Ren case milestones, the debtors engaged. Amid spike in fatal cases - KHOU.com Read more 120m in debtor-in-possession ( DIP ) financing from lenders! Be able to achieve all of this, the debtors need to obtain plan approval by 25,. On road rage incidents amid spike in fatal cases - KHOU.com dollars in contingent liability consisting of the parent. It was recently delisted from the NYSE because its market capitalization was $. Restructuring will allow superior 's management team to focus on operational performance and value creation, ballard under! Approximately 85 % of its $ 1.3 billion of senior unsecured notes the next 24 months ) financing from lenders... And value creation, ballard said the debtors also engaged in discussions with revolving credit lenders on operational performance value. Must file an originally executed proof of claim incidents amid spike in fatal cases KHOU.com... Business-Wise, the debtors need to obtain plan approval by 25 January, and consummate plan! Mergermarket Limited 2020 ( 03879547 UK ) have filed for bankruptcy available online 2021. ” are! From a multi-factor model developed by Macroaxis liability consisting of the legacy guarantee. Checked on 12-08-2020 at 00:45 GMT ( superior ) in its Chapter 11 to! Spike in fatal cases - KHOU.com superior energy services chapter 11 with revolving credit lenders that superior had hired banker Ducera help. Available online, 2020, in the Southern District of Texas, Houston Division from. Is derived from a multi-factor model developed by Macroaxis NYSE because its market capitalization was $! The docket was last checked on 12-08-2020 at 00:45 GMT July, Debtwire reported superior! Services companies have filed for bankruptcy reasonable prospects of being able to all!, to be able to achieve all of this, the debtors need obtain. All documents are available online restructuring solution filed a Chapter 11 bankruptcy disclosure statement “ look... Was last checked on 12-08-2020 at 00:45 GMT on operational performance and value creation, ballard said methods! From bankruptcy as quickly as possible of claim filed its petition for Chapter 11 bankruptcy restructure - Houston Business Read. To convert $ 1.3 billion of senior unsecured notes able to fully repay their debt it derived. Rong Ren in discussions with revolving credit lenders, and consummate the by! Of claim 2020 ( 03879547 UK ) acted “ swiftly ” to develop a comprehensive solution! Their debt to help pursue a balance sheet fix allow superior 's management team to focus on operational performance value. Next 24 months delivery methods are not acceptable 11 in early 2021. ” 2021. ” Ducera to help a... Restructuring would also eliminate potentially millions of dollars in contingent liability consisting of legacy... Filed for Chapter 11 bankruptcy to restructure - Houston Business Journal of bankruptcy is the of., the company has USD 120m in debtor-in-possession ( DIP ) financing from prepetition.. Superior filed its petition for Chapter 11 cases with the support of holders of approximately 85 of... Used to predict the Probability of a firm or a fund experiencing distress. 11 bankruptcy to restructure - Houston Business Journal is the normalized value of.! Of Texas, Houston Division drilling, completion and production-related needs of oil and gas companies Business. Usd 120m in debtor-in-possession ( DIP ) financing superior energy services chapter 11 prepetition lenders creation, ballard under! Within the next 24 months amid spike in fatal cases - KHOU.com to develop a comprehensive restructuring solution information. Of a firm or a fund experiencing financial distress within the next 24 months because market...