Weatherford granted conditional court OK of disclosure statement

By Caroline Salls

Pittsburgh, July 3 – Weatherford International plc, Weatherford International Ltd. and Weatherford International, LLC obtained conditional court approval of the disclosure statement for their pre-packaged plan of reorganization, according to an order filed Wednesday with the U.S. Bankruptcy Court for the Southern District of Texas.

A combined hearing on confirmation of the plan and final approval of the disclosure statement is scheduled for Sept. 11.

Under the company’s restructuring agreement, unsecured noteholders will exchange $7.4 billion of senior unsecured notes for approximately 99% of the equity in the company and $1.25 billion of new tranche B senior unsecured notes.

The company’s existing secured funded debt and unsecured revolving credit facility debt will be repaid in full in cash.

Existing equity will be canceled and exchanged for 1% of the new common stock in the reorganized company and three-year warrants to purchase 10% of the new common stock at a strike price that will be set at an equity value at which the consenting creditors would receive a recovery equal to par plus accrued interest as of the date of the bankruptcy filing.

Weatherford is an oilfield services company based in Baar, Switzerland. The company filed bankruptcy on July 1 under Chapter 11 case number 19-33694.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.